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HomeMy WebLinkAbout204-1171a. Well Status:Oil SPLUG Other Abandoned Suspended 1b. Well Class: 20AAC 25.105 20AAC 25.110 Development Exploratory GINJ WINJ WDSPL No. of Completions: __________________ Service Stratigraphic Test 2. Operator Name: 6. Date Comp., Susp., or 14. Permit to Drill Number / Sundry: Aband.: 3. Address: 7. Date Spudded: 15. API Number: 4a. Location of Well (Governmental Section): 8. Date TD Reached: 16. Well Name and Number: Surface: Top of Productive Interval: 9. Ref Elevations: KB: 17. Field / Pool(s): Deep Creek Unit / GL: 0' BF: 0' Total Depth: 10. Plug Back Depth MD/TVD: 18. Property Designation: 4b. Location of Well (State Base Plane Coordinates, NAD 27): 11. Total Depth MD/TVD: 19. DNR Approval Number: Surface: x- y- Zone- 4 TPI: x- y- Zone- 4 12. SSSV Depth MD/TVD: 20. Thickness of Permafrost MD/TVD: Total Depth: x- y- Zone- 4 5. Directional or Inclination Survey: Yes (attached) No 13. Water Depth, if Offshore: 21. Re-drill/Lateral Top Window MD/TVD: Submit electronic information per 20 AAC 25.050 N/A (ft MSL) 22.Logs Obtained: N/A 23. BOTTOM 16" K-55 75 9-5/8" L-80 1508 88 bbl or 12.8 ppg lead, 29 bbl of 15.8 ppg tail "G" 7" L-80 4283 45 bbl 12.8 ppg lead/18 bbl 15.8 ppg "G" tail 3-1/2" L-80 8619 24. Open to production or injection? Yes No 25. 26. Was hydraulic fracturing used during completion? Yes No DEPTH INTERVAL (MD) AMOUNT AND KIND OF MATERIAL USED 27. Date First Production: Method of Operation (Flowing, gas lift, etc.): Hours Tested: Production for Gas-MCF: Test Period Casing Press: Calculated Gas-MCF: Oil Gravity - API (corr): Press. 24-Hour Rate 50-231-20024-00-00 Star 1 FEE-CIRI (C-651684) 1443' FSL, 408' FWL, Sec 24, T3S, R14W, SM, AK 1255' FSL, 1797' FEL, Sec 23, T3S, R14W, SM, AK N/A 7/12/2004 9,130' MD / 8,640' TVD 0' MD / 0' TVD 0 202730.722 2158862.978 N/A 3800 Centerpoint Drive, Suite 1400, Anchorage, AK 99503 7/24/2004 STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION WELL COMPLETION OR RECOMPLETION REPORT AND LOG WAG Gas 7/5/2023 204-117 / 320-328Hilcorp Alaska, LLC 2158729.117 TOP HOLE SIZE AMOUNT PULLED 200521.670 TOP SETTING DEPTH MD suspension, or abandonment, whichever occurs first. Types of logs to be listed include, but are not limited to: mud log, spontaneous potential, gamma ray, caliper, resistivity, porosity, magnetic resonance, dipmeter, formation tester, temperature, cement evaluation, casing collar locator, jewelry, and perforation record. Acronyms may be used. Attach a separate page if necessary N/A BOTTOM CASING, LINER AND CEMENTING RECORD List all logs run and, pursuant to AS 31.05.030 and 20 AAC 25.071, submit all electronic data within 90 days of completion, CASING WT. PER FT.GRADE CEMENTING RECORD N/A SETTING DEPTH TVD 12-1/4" Driven 0 9.2# O 0 15080 0 25# 9108 0 0 82.77# 157 bbl of 12.0 ppg Litecrete6-1/8" SIZE DEPTH SET (MD) 3991 MD / 3821 TVD PACKER SET (MD/TVD) 47# 75 04522 8-1/2" Driven If Yes, list each interval open (MD/TVD of Top and Bottom; Perforation Size and Number; Date Perfd): TUBING RECORD N/A Gas-Oil Ratio:Choke Size: Per 20 AAC 25.283 (i)(2) attach electronic information ACID, FRACTURE, CEMENT SQUEEZE, ETC. N/A Sr Res EngSr Pet GeoSr Pet Eng Tyonek Undefined Gas N/A Oil-Bbl: Water-Bbl: Water-Bbl: PRODUCTION TEST N/A Date of Test: Oil-Bbl: Flow Tubing Form 10-407 Revised 10/2022 Due within 30 days of Completion, Suspension, or Abandonment By Grace Christianson at 3:57 pm, Aug 04, 2023 Abandoned 7/5/2023 JSB RBDMS JSB 081523 GDSR-8/18/23 Conventional Core(s): Yes No Sidewall Cores: 30. MD TVD Top of Productive Interval 31. List of Attachments: Operations Summary, Schematic, MIT-IA, Photo document casing cut-off/cement top/welded plate. 32. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Name: Chad Helgeson, Operations Engineer Digital Signature with Date:Contact Email: chelgeson.hilcorp.com Contact Phone: 907-777-8405 Authorized General: Item 1a: Item 1b: Item 4b: Item 9: Item 15: Item 19: Item 20: Item 22: Item 23: Item 24: Item 27: Item 28: Item 30: Item 31: Yes No Well tested? Yes No 28. CORE DATA If Yes, list intervals and formations tested, briefly summarizing test results for each. Attach separate pages if needed and submit detailed test info including reports and Excel or ASCII tables per 20 AAC 25.071. NAME Permafrost - Top Permafrost - Base 29. GEOLOGIC MARKERS and POOL BOUNDARIES: (list all encountered) FORMATION TESTS If Yes, list formations and intervals cored (MD/TVD, From/To), and briefly summarize lithology and presence of oil, gas or water (submit separate pages if needed). Submit detailed descriptions, core chips, photographs, and all subsequent laboratory analytical results per 20 AAC 25.071 no matter when acquired. Authorized Name and INSTRUCTIONS Noel Nocas, Operations Manager 907-564-5278 Well Class - Service wells: Gas Injection, Water Injection, Water-Alternating-Gas Injection, Salt Water Disposal, Water Supply for Injection, Observation, or Other. Formation Name at TD: Pursuant to 20 AAC 25.070, attach to this form: well schematic diagram, summary of daily well operations, directional or inclination survey, and other tests as required including, but not limited to: core analysis, paleontological report, production or well test results. Report measured depth and true vertical thickness of permafrost. Provide MD and TVD for the top and base of permafrost in Box 29. Attached supplemental records should show the details of any multiple stage cementing and the location of the cementing tool. If this well is completed for separate production from more than one interval (multiple completion), so state in item 1, and in item 23 show the producing intervals for only the interval reported in item 26. (Submit a separate form for each additional interval to be separately produced, showing the data pertinent to such interval). Provide a listing of intervals cored and the corresponding formations, and a brief description in this box. Pursuant to 20 AAC 25.071, submit detailed descriptions, core chips, photographs, and all subsequent laboratory analytical results, including, but not limited to: porosity, permeability, fluid saturation, fluid composition, fluid fluorescence, vitrinite reflectance, geochemical, or paleontology. Method of Operation: Flowing, Gas Lift, Rod Pump, Hydraulic Pump, Submersible, Water Injection, Gas Injection, Shut-in, or Other (explain). Provide a listing of intervals tested and the corresponding formation, and a brief summary in this box. Submit detailed test and analytical laboratory information required by 20 AAC 25.071. Review the reporting requirements of 20 AAC 25.071 and, pursuant to AS 31.05.030, submit all electronic data within 90 days of completion, suspension, or abandonment; or 90 days after log acquisition, whichever occurs first. Report the Division of Oil & Gas / Division of Mining Land and Water: Plan of Operations (LO/Region YY-123), Land Use Permit (LAS 12345), and/or Easement (ADL 123456) number. The Kelly Bushing, Ground Level, and Base Flange elevations in feet above Mean Sea Level. Use same as reference for depth measurements given in other spaces on this form and in any attachments. The API number reported to AOGCC must be 14 digits (ex: 50-029-20123-00-00). This form and the required attachments provide a complete and concise record for each well drilled in Alaska. Submit a current well schematic diagram with each 10-407. Submit 10-407 and attachments in PDF format to aogcc.permitting@alaska.gov. All laboratory analytical reports from a well must be submitted to the AOGCC, no matter when the analyses are conducted per 20 AAC 25.071. Information to be attached includes, but is not limited to: summary of daily operations, wellbore schematic, directional or inclination survey, as-built, core analysis, paleontological report, production or well test results, per 20 AAC 25.070. Multiple completion is defined as a well producing from more than one pool with production from each pool completely segregated. Each segregated pool is a completion. TPI (Top of Producing Interval). Form 10-407 Revised 10/2022 Submit in PDF format to aogcc.permitting@alaska.gov Digitally signed by Noel Nocas (4361) DN: cn=Noel Nocas (4361) Date: 2023.08.04 15:46:39 - 08'00' Noel Nocas (4361) Well Name:Star #1 State:Alaska SCHEMATIC Conductor:16", 82.77 ppf, K-55 to 75' Surface Casing:9ǫ", 47 ppf, L-80, BTC to 1508' -Cement with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg "G" tail - 18 bbls cement returns to surface Intermediate Casing:7", 26 ppf, L-80, BTC-Mod to 4522' -Cement with 45 bbl of 12.8 ppg lead and 18 bbl of 15.8 ppg "G" tail. - 5-10 bbls of Mud Push II to surface Production Casing:3½", 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg LitecretePBTD = 0' TD = 9130' Completion - Inline Baker ZX packer at 3991' Open Perfs: none Isolated Perfs: B100: 4732' - 4746' (6 spf, 6/6/05) UT3: 5412' - 5436' (6 spf, 6/2/05) T10: 6098' - 6114' (6 spf, 6/1/05) T38: 7431' - 7455' (6 spf, 5/28/05) T40: 7625' - 7641' (6 spf, 5/27/05) T-63: 8090' - 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5", 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17/04) T-83: 8777' - 8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17/04) API:50-231-20024-00-00 AOGCC: 204-117 1358' FSL & 430' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3½" IBT Tree cxn - 2½" Bowen cxn Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Fish at 8897':38.7' x 2.5" OD SLB gun assembly, 9/11/04 Plugs: Halliburton MagnaRange CIBP at 4700', capped with cement to ±4674' (6/9/05) Halliburton MAPS CIBP at 5390', capped with cement to 5359' (6/4/05) Halliburton MagnaRange CIBP at 8082', capped with cement to 8049' (5/26/05) P&A Plugs & Cement: #Depth Description: 1 160' 7" CIBP (w/ Cement to Surface) 8/21/20 2 1,620' 7" CIBP (w/ 250'+ Cement on Top) - TOC @ 1,370' 8/21/20 3 2,896' 7" CIBP (w/ 75'+ Cement on Top) - TOC @ ~3,895' 8/19/20 1 2 3 TOC @ ~4,530' (Top of Good Cmt @ ~4,590') (CBL 7/30/04) Designed TOC @ ~2,500' Punches @ 155'-158' 08/21/20 Punches@ 2929'- 2927' 08/17/20 & 3976'-3980' 8/16/20 Updated by DMA 07-26-23 Rig Start Date End Date 8/14/20 7/5/23 Daily Operations: Hilcorp Alaska, LLC Well Operations Summary API Number Well Permit NumberWell Name Star 1 50-231-20024-00-00 204-117 08/14/2020 - Friday 08/15/2020 - Saturday Perform derrick & carriage inspection for lay down. scope in & L/D derrick, secure guy lines for transportation. Clean pits, R/D pump lines, electrical, Koomey lines, & secure Koomey house. Load out all equipment & transport from Greystone 1 to Star #1 pad. P/U herculiner & clean location. Haul off 170 bbls of dirty kcl to G&I pad. 08/17/2020 - Monday Open well, Pressure up to 3,000 psi on 3.5" tbg & hold for 15 minutes, unable to break circulation up IA. P/U AK E-line 3.5" lubricator, test lubricator to 2,000 psi, RIH with 1-9/16" hole punch 3' x 4spf. Tie into packer @ 3,991'. P/U to 2,927'. Pressure up on tbg to 700 psi. Punch holes from 2,924' to 2,927'. No pressure change. POOH to surface. Pressure up on 3.5" tbg to 3,000 psi with IA open to poor boy gas buster. Unable to break circulation. Line up to IA & pressure up to 2,000 psi. Unable to break circulation. R/D AK E-line & set to side of location. Call out Northern solutions well head tech. Make up test joints while waiting on wellhead technician to arrive. Remove check valve & bleed chemical injection line from tree port, tighten down on hanger pins to stop tbg hanger seal from leaking. Test void to 5,000. Held same. N/D production tree. Install 11" spacer spool. Studs on tbg head not long enough to make up full nut. Remove spacer spool & replace studs, N/U 11" spacer spool, flow cross, double ram bop, hydril, kill & flow lines. Lay out & hook up Koomey lines. Pressurize system & function components. Install rig floor, hand rails, & stairs. Install 2-7/8" test joint assembly, secure well same. Hold PTSM with crew. Lay out felt & herculiner. Spot base beam & rig carrier, level carrier. Perform pre-lift derrick inspection. Lift & fully scope derrick, secure guy lines, spot choke house, 170 bbl rig tank, 500 bbl frac tank, fluid pump, Koomey house, transformer, generator, & conexes. Run & hook up all electrical & pump lines. Tranfer 400 bbls of fresh water. All equipment on pad & 100% rigged up. 08/16/2020 - Sunday Open well, SITP = 100 PSI, SICP (IA) = 200 PSI. Bleed both off same. Hook up pump lines to both tbg & IA & perform CMIT- TXIA to 1,500 psi on chart for 30 minutes (held same). R/U AK E-line & 3.5" lubricator. P/U 1-9/16" tbg punch 4spf x 4' of live shot with ccl. Attempt to test lubricator to 1,500 PSI, lubricator bleeding off at AK E-line Otis connection. Clean & buff out Otis wing. M/U & test to 1,500 psi. RIH & log on depth with top of packer @ 3,991'. P/U to 3,980', pressure up on 3.5" tbg to 700 psi. Tbg punch misfired. Bleed off pressure. POOH & inspect tool assembly. Replace detonator and dry all connections. RIH with tbg punch (run #2), log on depth with packer, pressure up tbg to 700psi, perforate 3.5" tbg F/ 3,976' T/3,980'. POOH same. Pressure up on tbg to 2,500 psi. unable to break circulation, pressure up to 3,000 psi & Hold for 30 minutes, unable to break circulation. AK E-line did not have 3rd detonator on unit to punch more holes. Secure well to punch holes in the A.M. Rig Start Date End Date 8/14/20 7/5/23 Daily Operations: Hilcorp Alaska, LLC Well Operations Summary API Number Well Permit NumberWell Name Star 1 50-231-20024-00-00 204-117 08/19/2020 - Wednesday POOH laying down 3.5" 9.2# IBT tbg, cleaning OBM from outside of pipe. Total of 94 jts & (1) cut joint layed down. Clean rig floor, R/D McCoy tongs & R/U Foster tongs, change out elevators, slips, & tiw. Load 2-7/8" ph-6 work string on pipe racks & slm same. P/U Tripoint 7" 23# mechanical set CIBP & RIH on 2-7/8" ph-6 work string to 2,907'. Tag top of cut 3.5" IBT tbg stump. P/U & set CIBP @ 2,896'. Unsting from plug, P/U to 2,890', lower down & set 5k on plug. P/U & space out tbg setting end of tail pipe @ 2,890' tbg measurements. Secure well & rest crew. 08/20/2020 - Thursday Test CIBP set @ 2,896' to 1,500 psi for 5 minutes, held same. Spot & R/U Schlumberger cementers, test lines to 2000 psi. Break circulation, pump 10 bbls of 15.8# class g cement & displace with 12.5 bbls of 8.4# water. Remove cement head. POOH racking 7 stands in derrick to 2,454'. Reverse circulate 1.5 tbg volumes. Trace of cement on bottoms up. Clean out Schluberger cement truck & R/D same. POOH racking back 1,600' of 2-7/8" tbg in derrick. Continue POOH laying down 1,286' of 2-7/8" tbg. Clean OBM residue from stinger & L/D same. Fill hole & perform MIT against reservoir cement plug to 1,500 psi on chart for 30 minutes. Held same. P/U & M/U Tripoint 7" 23-32# mechanical set CIBP, RIH with 2-7/8" tbg & CIBP hung up in well head. P/U & found bow spring centralizer setting tool had a bow spring broke. Attempt to replace with no success. Send tool to Tripoint to repair. Secure well same. 08/18/2020 - Tuesday Test BOPE per approved sundry. Test all components to 250 low/2,500 high on chart for 5 minutes, VBR tested using 2- 7/8" and 3.5" tubulars. Spot & R/U AK Eline with 3.5" lubricator. P/U 1-11/16" weight bar, Test lubricator to 2,000 psi, RIH to 4,661' & tag top of cement set above CIBP set on 6/9/05. POOH & confirm cement top depth with Hilcorp engineer. P/U 2.5" jet cutter & RIH. tie in to chemical injector mandrel @2,515'. Lower cutter to 2,910'. Pressure up on 3.5" tbg to 700 psi. Fire cutter & lost all pressure. P/U cutter & attempt to lower, tag @ 2,911'. POOH same. P/U on 3.5" & tbg was free, lower & land tbg back into tbg head. Circulate pumping 8.4# water down tbg taking OBM & gas returns up IA. began getting water returns after 75 bbls pumped. Shut pumps down & R/D AK E-line. Circulate additional 50 bbls of clean 8.4# water pumping 4.5 bpm @ 500 psi. Clean returns. Shut down pump & secure well Spot L/D machine, R/U McCoy tongs, Prepare to POOH & L/D 3.5" tbg, Clean OBM from return tank. Rig Start Date End Date 8/14/20 7/5/23 Daily Operations: Hilcorp Alaska, LLC Well Operations Summary API Number Well Permit NumberWell Name Star 1 50-231-20024-00-00 204-117 Open well, well static. P/U Tripoint 7" 23#-32# CIBP & TIH same to 1,620'. Set plug & P/U to 1,615', lower down & tag plug. P/U & set pipe in slips @ 1,615'. R/U Schlumberger cementers, test lines to 2,000 psi. Mix & pump 10 bbls of 15.8# class g cement, displace with 6 bbls of 8.4# FW. L/D cement head. POOH racking back 7 stands in derrick to 1,178'. Reverse circulate 1.5 tbg volumes, no cement on bottoms up. Clean Schlumberger cement truck & lines, Prepare to POOH laying down 2-7/8" tbg POOH laying down 2-7/8" tbg to surface, clean & L/D setting tool, RIH with 4 stands out of derrick & L/D same. Perform MIT to 1,500 psi on chart for 30 minutes. Held same. Spot & R/U AK E-line. RIH with 7" bridge plug to 159', set same with 200 lb weight loss. POOH & P/U 1-9/16" hole punch 4spf with 3' of charge. RIH & shoot holes from 155' to 158'. POOH & R/D AK E-line. Circulate 15 bbls of 8.4# FW down 7" & catching returns up 7" x 9- 5/8" OA. TIH with 3 stds of 2-7/8" ph-6 tbg from derrick & L/D same. Begin washing & cleaning OBM from tanks, secure well to set surface cement plug in the morning. 08/22/2020 - Saturday PJSM w SLB Cement crew / Vac truck drivers and wash up crew Test Cement lines t/ 2,000 psi, all good. Batch up 15.8 class G cement and Pump Tot of 14 BBL Need 10.5 bbls Wash up 2.5 bbls. All good. R/D SLB cement equipment and wash up bop stack, pump 40 bbls of soap pill through all valves w/clean up water. N/D BOP stack N/U Tree / continue clean up pits w/ OBM fluids Working on rig carrier drive load up accumulator lines, continue clean up pits Test drive line on carrier R/D kill line hose, pup joint on stand pipe, R/D choke line, R/D accumulator, R/D weight indicator /pull gas alarms, R/D totco driller screen and continue clean pits, load trailers. Prep to move to Seaview well-08. 08/23/2020 - Sunday PJSM w/ crew. Continue R/D Carrier scope derrick down and lay over same on carrier. Continue R/D and loading out Choke house Fuel tank, Gen, accumulator house, mud pump, office, load out base beam, start staging Loads on Seaview 08 pad clean up pad at Star #1. 08/21/2020 - Friday 06/21/2023 - Wednesday Crew met conducted PJSM, set up cold cut saw, completed cut off of well head, secured site for the night. Excavation had no smell or staining of any contamination. 06/28/2023 - Wednesday Meet with AOGGC Inspector, Adam Earl for cement top inspection. Found cement in 7" production casing and 9-5/8" surface casing at surface. Cement hard. Measured depth to cement between 16" conductor and 9-5/8" surface casing. 16ft down to cement. Took photos of cement. Inspector asked us to fill the conductor to surface with cement and requested another witness once complete. 06/29/2023 - Thursday CCI crew held PJSM, mixed 60 sacks of cement and filled 16" conductor by 9-5/8" surface casing annulus to surface with cement. Noitified Adam Earl (AOGCC) well is ready for next inspection. Scheduled witness at 12PM on 6/30. Rig Start Date End Date 8/14/20 7/5/23 Daily Operations: Hilcorp Alaska, LLC Well Operations Summary API Number Well Permit NumberWell Name Star 1 50-231-20024-00-00 204-117 06/30/2023- Friday Arrived on-site and met with AOGCC inspector, Adam Earl, for witness of all pipe strings full of cement. Adam confirmed well is ready for cap to be welded on well and final closure. Asked for photos to be sent to him once cap is welded on. 07/05/2023 - Wednesday Crew arrive onsite, complete permits, conduct JSA Seal welded cap on conductor. Snooped the weld ensure no leaks. Cap had following info on it: Hilcorp Alaska PTD# 204-117 Star #1 50-231-20024-00-00 Star #1 Photo of cut oī casing 6-28-23 16Ō to Hard Cement Star #1 Photo of cut oī casing w/ cement cap 6-30-23 Star #1 Seal Welded Cap 7-5-23 Star 1 Final Pad Grading 07-25-23 2023-0630_Surface_Abandon_Star-1_ae Page 1 of 3 MEMORANDUM State of Alaska Alaska Oil and Gas Conservation Commission TO: Jim Regg DATE: July 8, 2023 P. I. Supervisor FROM: Adam Earl SUBJECT: Surface Abandonment Petroleum Inspector Star #1 Hilcorp Alaska LLC PTD 2041170; Sundry 320-328 6/28/2023: I traveled to Star #1 for P&A cut-off inspection. Mike Erstrom and Chad Helgeson were the Hilcorp representatives on location. It was reported by Hilcorp in the witness notification that there was some slight weeping/bubbling coming from the outer annulus. The cement looked much better than I expected. It was set-up and hard. I couldn’t tell it was leaking or even had been. The gas monitor wouldn’t pick anything up so after 20 minutes of hovering over the well with my ears and nose, I was satisfied that it wasn’t leaking. They were eventually approved to top off the conductor. 6/30/2023: I traveled back to location for the surface abandonment inspection and observed all strings full of hard cement. The well was cut off @ approximately 12 feet below ground level grade. The marker plate had the correct information welded on it. Attachments: Photos (3)      2023-0630_Surface_Abandon_Star-1_ae Page 2 of 3 Surface Abandonment – Star #1 (PTD 2041170) Photos by AOGCC Inspector Adam Earl 6/28/2023 and 6/30/2023 6/28/2023 – Star #1 Cut-off 6/30/2023 – Star #1 Cement to Surface 2023-0630_Surface_Abandon_Star-1_ae Page 3 of 3 6/30/2023 – Star #1 Marker Plate 1. Type of Request:Abandon Plug Perforations Fracture Stimulate Repair Well Operations shutdown Suspend Perforate Other Stimulate Pull Tubing Change Approved Program Plug for Redrill Perforate New Pool Re-enter Susp Well Alter Casing Other: ___________________ 2. Operator Name:4. Current Well Class:5. Permit to Drill Number: Exploratory Development 3. Address:Stratigraphic Service 6. API Number: 7. If perforating:8. Well Name and Number: What Regulation or Conservation Order governs well spacing in this pool? Will planned perforations require a spacing exception?Yes No 9. Property Designation (Lease Number):10. Field/Pool(s): 11. Total Depth MD (ft):Total Depth TVD (ft): Effective Depth MD: Effective Depth TVD: MPSP (psi):Plugs (MD):Junk (MD): 9,130'See Schematic Casing Collapse Structural Conductor 1,410psi Surface 4,760psi Intermediate 5,410psi Production 10,540psi Liner Packers and SSSV Type:Packers and SSSV MD (ft) and TVD (ft): 12. Attachments:Proposal Summary Wellbore schematic 13. Well Class after proposed work: Detailed Operations Program BOP Sketch Exploratory Stratigraphic Development Service 14. Estimated Date for 15. Well Status after proposed work: Commencing Operations:OIL WINJ WDSPL Suspended 16. Verbal Approval:Date:GAS WAG GSTOR SPLUG Commission Representative: GINJ Op Shutdown Abandoned Taylor Wellman 777-8449 Contact Name: Ryan Rupert Operations Manager Contact Email: Contact Phone: 777-8503 Date: Conditions of approval: Notify Commission so that a representative may witness Sundry Number: Plug Integrity BOP Test Mechanical Integrity Test Location Clearance Other: Post Initial Injection MIT Req'd? Yes No Spacing Exception Required? Yes No Subsequent Form Required: APPROVED BY Approved by: COMMISSIONER THE COMMISSION Date: Comm. Comm. Sr Pet Eng Sr Pet Geo Sr Res Eng Authorized Title: 17. I hereby certify that the foregoing is true and the procedure approved herein will not be deviated from without prior written approval. Authorized Signature: August 12, 2020 n/a 9,108' Perforation Depth MD (ft): 4,522' See Attached Schematic 9,108'8,619'3-1/2" 16" 9-5/8" 75' 7"4,522' 1,508' 2,980psi 6,870psi 75' 1,508' 4,283' 75' 1,508' n/a TVD Burst n/a 10,160psi MD 7,240psi Length Size 20 AAC 25.055(a) Hilcorp Alaska, LLC 3800 Centerpoint Dr, Suite 1400 Anchorage Alaska 99503 PRESENT WELL CONDITION SUMMARY STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION APPLICATION FOR SUNDRY APPROVALS 20 AAC 25.280 FEE-CIRI (C-061684) 204-117 50-231-20024-00 Star #1 Deep Creek Unit / Tyonek Undefined Gas COMMISSION USE ONLY Authorized Name: Tubing Grade:Tubing MD (ft): See Attached Schematic ryan.rupert@hilcorp.com 8,641'4,674'4,417'~ 1,530 psi See Schematic Baker ZX Packer, n/a 3991' MD / 3821' TVD, n/a Perforation Depth TVD (ft):Tubing Size: m n P s 66 t _ Form 10-403 Revised 3/2020 Approved application is valid for 12 months from the date of approval. By Jody Colombie at 4:36 pm, Aug 07, 2020 320-328 Digitally signed by Taylor Wellman DN: cn=Taylor Wellman, ou=Users Date: 2020.08.07 15:48:25 -08'00' Taylor Wellman gls X -00 DLB X Abandoned Abandon 10-407 DLB 08/07/2020 NA - tubing punches only (gls) *2500 psi BOPE test *Notify inspector as indicated. *Final location site clearance is required per 20 AAC 25.170 X DSR-8/7/2020 X (CIRI Landowner) gls 8/11/20 Comm 8/12/2020 JLC 8/12/2020 RBDMS HEW 8/12/2020 Well Prognosis Well: Star #1 Date: 08/11/2020 Well Name:Star #1 API Number:50-231-20024-00 Current Status:Shut-In Exploration Well Leg:N/A Estimated Start Date:8/21/20 Rig:401 Reg. Approval Req’d?10-403 Date Reg. Approval Rec’vd: Regulatory Contact:Donna Ambruz 777-8305 Permit to Drill Number:204-117 First Call Engineer:Ryan Rupert (907) 777-8503 (O)(907) 301-1736 (M) Second Call Engineer:Michael Quick (907) 777-8442 (O)(907) 317-2969 (M) Maximum Expected BHP:~ 1,975 psi @ 4,480’ TVD (Using a normal gradient = 0.44 psi/ft) Max. Potential Surface Pressure:~ 1,530 psi (Based on Max. Exp. BHP with a 0.10 psi/ft gas gradient to surface) Brief Well Summary: Star #1 was an exploration well drilled in July 2004, targeting various Tyonek gas sands. Six (6) Lower Tyonek sands (the T-83, T-81, T-75, T-67, T-65, and T-63) were perforated and tested between July 31 st and September 11th, 2004. In March 2005 the T-81 and T-83 sands were re-perforated, and once again tested. These six Lower Tyonek sands were isolated (CIBP w/ cement on top) on May 26 th, 2005 and the T-40, T-38, T-10, and T-3 sands subsequently perforated (& tested). Due to no gas inflow, these Tyonek sands were isolated (CIBP w/ cement on top) on June 4th, 2005 and the Beluga B-100 sand perforated (6/6/05). The Beluga B-100 sand was isolated below a CIBP (w/ cement on top) on June 9th, 2005, and the wellbore has remained suspended ever since. The max BHP reflected above reflects a normally pressured BEL-100 sand from 4732 – 4746’ MD. The RWO should see no communication with any permeable zones, and could only realize the max BHP or surface pressure if the cement and plug at 4700’ MD were to fail. The purpose of this Sundry is to permanently P&A the STAR #1 wellbore. Objectives: Per 20 AAC 25.112 the following are some of the necessary requirements for P&A of the Star-1 well 1. Reservoir abandonment: CIBP weight tested with workstring then at least 75’ of cement on top. 2. Surface casing shoe: Cement plug from 100’ below to 100’ above in 9-5/8” x 7” annulus and inside the 7”. 3. Surface plugging: 150’ or greater cement plug in 7” and 9-5/8” annulus with ToC no deeper than 5’ below ground level. No MIT nor tag is needed on this plug. 4. Need KWF between plugs. Risks / Contingencies - Junk in casing o Shouldn’t be any as the well saw very little ontime o If we were to tag high with the planned lowest CIBP: ƒAs long as the pre-rig MIT-IA was a pass, ok to set deepest 7” CIBP a bit high, no need to POOH. ƒPlug needs to be no more than 25’ from planned tubing stub tag, will - Chemicals / personal health risk: Specifically take care when handling oilbased mud, and any chemical that may be present in the chemical injection line. Well Prognosis Well: Star #1 Date: 08/11/2020 Pre - Rig Work:(if possible. On-rig otherwise) 1. Provide 24 hour notice to AOGCC that Plug and Abandonment of the well will commence per AOGCC regulations 20 AAC 112(h). 2. Load tubing with 8.6# brine (will need to lube and bleed) 3.Rigup a jumper between the tubing and IA, and perform a CMIT-TxIA to 1500 psi for 15 mins charted 4. RU E-line. Pressure test lubricator to 2,500 psi. 5. PU & RIH with a 4’ Casing Punch 6. Avoiding collars, punch the 3-1/2” tubing around ~3980’ MD, in the 1 st full joint above the packer. Make sure and hold ~200 psi tubing pressure, adequate to keep pressure close to balance before shooting (With 8.6 ppg in tubing and 9.5 ppg in annulus at 3980’ MD (3810’ TVD) with pressure difference is 180 psi) 7. Circulate the wellbore with 8.6 ppg brine, to remove the 9.5 ppg Oil Based Mud (OBM) reported to be in the 3-1/2” x 7” annulus. a. Note that the OBM will need to be contained and disposed of properly. b. State pump rates as high as practical to ensure effective sweep c. IA volume = 105 bbls d. Tubing volume above punch = 35 bbls e. Ensure wellbore is fluid packed before rig down (tubing likely has some gas in it currently) f. If circulation cannot be established, continue on with program below, and rig will circ out IA fluid when they arrive. CONTINGENCY:If circulation through the tubing punches is not achieved, move up hole to ~2900’ MD and tubing punch +/- 4’, and try to establish circulation. If circulation through the tubing punches is not achieved, move up hole to ~2000’ MD and tubing punch +/- 4’, and try to establish circulation. 8. PU & RIH with a Tubing Cutter and cut tubing just above top punches around ~3975’ MD. 9. RD E-line. 10. Set BPV/TWC Rig #401: 11. MIRU Rig 401. 12. ND tree, NU BOP and test 250 low & 2,500 psi high, annular to 250 psi low & 2,500 psi high. Record accumulator pre-charge pressures and chart tests. Notify AOGCC 24 hours in advance of test to extend the opportunity to witness. a. Perform Test. b. Test VBR rams on 3-1/2” test joint. c. Submit to AOGCC completed 10-424 form within 5 days of BOPE test. 13. Pull BPV/TWC 14. PU & POOH with the 3-1/2” tubing a. Spool chemical injection line as POOH b. Keep ~4000’ in the derrick to be used as a workstring. tbg (MIT will also test the lower CIBP at 4700 ft) Well Prognosis Well: Star #1 Date: 08/11/2020 c. If not completed pre-rig, circ the 3-1/2” x 7” annulus fluid out displacing the well over to 8.6ppg brine Reservoir Plug: 15. MU a 7” CIBP on the 3-1/2” workstring. Ensure BHA is setup to circulate cement through it. 16. RIH to just above tubing stub. Lightly tag tubing stub, pickup ~5’ and set CIBP (+/- 3970’ MD) 17. Pickup off CIBP and ensure set. 18. Set down 5k on CIBP to confirm location per 20 AAC 25.112 (g). 19. Lay in 10 bbls 15.8 ppg cement on top of CIBP. Pick up above plug and circulate clean. 20. Pressure test plug to 1500 psi for 30 minutes on chart. (TVD ~3730’ x 0.25 psi/ft = 935 psi; therefore 1500 psi pressure test per 20 AAC 25.112 (g)(2)) 21. POOH Note: Drilling records indicate that the 9-5/8” Surface Casing was cemented to surface (18 bbls of cement returns to surface). The cementing program for the 7” Intermediate Casing string had a designed top of cement at 2,500’. Drilling records indicate that the actual pumped volumes (pre-flush, cement, and post-flush) were very close to the designed volumes and that 5-10 bbls of Mud Push II were recovered at surface. Thus the likely TOC behind the 7” Casing is somewhere around 2,500’, which is well below the Surface Casing Shoe (@ 1,508’). No Cement Bond Logs were run in the 7” Intermediate Casing. The only Cement Bond Log (CBL) run in Star #1 (run on 7/30/04) was run in the 3-1/2” casing over the interval 3,990’ to 8,962’. This CBL showed a TOC at 4,530’. As there is no record of a CBL having been run across the surface casing shoe interval (@ 1,508’), and the 7” casing cementing program was designed to yield a TOC at ~2,500’, Hilcorp will proceed with the Star #1 abandonment assuming there is no cement behind the 7” casing (across the surface casing shoe interval). Surface Casing Shoe Plug: 22. RIH with 3-1/2” workstring and 7” CIBP, set CIBP at +/- 1620’ MD. 23. Set down 5k on CIBP to confirm location per 20 AAC 25.112 (g). 24. Lay in 10 bbls 15.8 ppg cement on top of CIBP (at least 100’ of cement above and below the surface casing shoe per 20 AAC 25.112 (c)(3)(B)). 25. Pickup to safety and circulate clean 26. Pressure test plug to 1500 psi for 30 minutes on chart per 20 AAC 25.112 (g)(2). 27. POOH and lay down workstring, keeping ~200 ft of tubing racked back. Surface Plug 28. RU E-line. PU & RIH w/ 7” CIBP to 160’. Set same depth & POOH. 29. PU & RIH with a Casing Punch. 30. Punch casing just above 7” plug ~159’. 31. POOH and RD E-line. 32. Rig up cementers to 9-5/8” x 7” annulus. 33. Cement casing and annulus a. Establish circulation down the 9-5/8” x 7” annulus through the casing punched holes and up the 7” casing. Notify Inspector to witness MIT Well Prognosis Well: Star #1 Date: 08/11/2020 b. Circulate a cement plug from 160’ to surface. (10.3 bbls) c. 150’ or greater plug no more than 5’ from surface required 34. RD Cementers 35. If circulation can’t be established, PU & RIH with tubing work string and spot cement from 160’ to surface (9-5/8” x 7” annulus will be cemented post-rig via a top job per below) 36. RDMO Workover Rig. Post Rig Abandonment Procedures: 37. Excavate cellar, cut off casing 3’ below natural GL. 38. Ensure cement to surface in all strings per 20 AAC 25.112 (d)(2) (A). a. If needed, pickup 1” pipe and top off all pipe/annuli to surface with cement 39.Notify AOGCC 48hrs in advance. 40. Create well abandonment marker per 20 AAC 25.120. The following must be bead-welded directly to the marker plate: a. Hilcorp Alaska, LLC b. PTD: 204-117 c. Well Name: Star #1 d. API: 50-231-20024-00 41. Set marker plate per 20 AAC 25.120 and collect GPS coordinates. 42. Photo document casing cut-off and Welded Plate install. 43. Backfill excavation, close out location. 44. Obtain final site clearance for land owner Attachments: 1. Current Schematic 2. Proposed Schematic 3. Current Wellhead Schematic 4. BOP Schematic 5. RWO Sundry Revision Change Form NOTE: (Do not top off any cement annuli without AOGCC approval) Well Name:Star #1 State:Alaska PROPOSED SCHEMATIC Conductor:16", 82.77 ppf, K-55 to 75' Surface Casing:9ǫ", 47 ppf, L-80, BTC to 1508' -Cement with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg "G" tail - 18 bbls cement returns to surface Intermediate Casing:7", 26 ppf, L-80, BTC-Mod to 4522' -Cement with 45 bbl of 12.8 ppg lead and 18 bbl of 15.8 ppg "G" tail. - 5-10 bbls of Mud Push II to surface Production Casing:3½", 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg LitecretePBTD = 0' TD = 9130' Completion - Inline Baker ZX packer at 3991' Open Perfs: none Isolated Perfs: B100: 4732' - 4746' (6 spf, 6/6/05) UT3: 5412' - 5436' (6 spf, 6/2/05) T10: 6098' - 6114' (6 spf, 6/1/05) T38: 7431' - 7455' (6 spf, 5/28/05) T40: 7625' - 7641' (6 spf, 5/27/05) T-63: 8090' - 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5", 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17/04) T-83: 8777' - 8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17/04) API:50-231-20024 AOGCC: 204-117 1358' FSL & 430' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3½" IBT Tree cxn - 2½" Bowen cxn Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Fish at 8897':38.7' x 2.5" OD SLB gun assembly, 9/11/04 Plugs: Halliburton MagnaRange CIBP at 4700', capped with cement to ±4674' (6/9/05) Halliburton MAPS CIBP at 5390', capped with cement to 5359' (6/4/05) Halliburton MagnaRange CIBP at 8082', capped with cement to 8049' (5/26/05) P&A Plugs & Cement: #Depth Description: 1 160' 7" CIBP (w/ Cement to Surface) 2 1,620' 7" CIBP (w/ 250'+ Cement on Top) - TOC @ 1,370' 3 3,970' 7" CIBP (w/ 75'+ Cement on Top) - TOC @ ~3,895' 1 2 3 TOC @ ~4,530' (Top of Good Cmt @ ~4,590') (CBL 7/30/04) Designed TOC @ ~2,500' Star-1 Proposed Schematic(8-11-20)Updated (3-11-20) by: PMW MIT to 1500 psi /30min witnessed by inspector Well Name:Star #1 Field:Wildcat State:Alaska ACTUAL SCHEMATIC Conductor:16", 82.77 ppf, K-55 to 75' Surface Casing:9ǫ", 47 ppf, L-80, BTC to 1508' -Cement with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg "G" tail - 18 bbls cement returns to surface Intermediate Casing:7", 26 ppf, L-80, BTC-Mod to 4522' -Cement with 45 bbl of 12.8 ppg lead and 18 bbl of 15.8 ppg "G" tail. - 5-10 bbls of Mud Push II to surface Production Casing:3½", 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg LitecretePBTD = +4,674' TD = 9130' Completion -Annulus loaded with 9.5 ppg OBM -Baker "H" chemical injection nipple at 2515' with 1/4", 0.049" wall SS chemical injection line -Inline Baker ZX packer at 3991' Open Perfs: none Isolated Perfs: B100: 4732' - 4746' (6 spf, 6/6/05) UT3: 5412' - 5436' (6 spf, 6/2/05) T10: 6098' - 6114' (6 spf, 6/1/05) T38: 7431' - 7455' (6 spf, 5/28/05) T40: 7625' - 7641' (6 spf, 5/27/05) T-63: 8090' - 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5", 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17/04) T-83: 8777' - 8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17/04) API:50-231-20024 AOGCC: 204-117 1358' FSL & 430' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3½" IBT Tree cxn - 2½" Bowen cxn Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Fish at 8897':38.7' x 2.5" OD SLB gun assembly, 9/11/04 Plugs: Halliburton MagnaRange CIBP at 4700', capped with cement to ±4674' (6/9/05) Halliburton MAPS CIBP at 5390', capped with cement to 5359' (6/4/05) Halliburton MagnaRange CIBP at 8082', capped with cement to 8049' (5/26/05) TOC @ ~4,530' (Top of Good Cmt @ ~4,590') (CBL 7/30/04) Designed TOC @ ~2,500' Star-1 Schematic 3-11-20 Updated (3-11-20) by: PMW gas MIT-IA before tubing cut gls mud Cut tubing at 3975 ft The picture can't be displayed.The picture can't be displayed.The picture can't be displayed.The picture can't be displayed. 11" Spherical Annular Height: 42" 11" LWS Double BOP 2-7/8" to 5" Multirams top Blind rams bottom Height:33" 11" Mud Cross W/ 4-1/16" Outlets Dual 2-1/16" Manual Gate Valves W/ DSA to 4-1/16" Width to flange: 34" 2-1/16" Manual Gate Valve & 2-1/16" HCR W/ DSA to 4- 1/16" Full Mud Cross Assy. width w/ valves installed Width: 96" Kill side Choke side BOP Stack Width: 96" @ valves Height Addition for Ring Gaskets: .75" BOP Total Height: 101.75" 11" 5m BOP Package W/ 2-1/16" Valves Hilcorp Alaska, LLCHilcorp Alaska, LLCChanges to Approved Rig Work Over Sundry ProcedureSubject: Changes to Approved Sundry Procedure for well Star #1 (PTD 204-117)Sundry #: XXX-XXXAny modifications to an approved sundry will be documented and approved below. Changes to an approved sundry will be communicated to theAOGCC by the rig workover (RWO) “first call” engineer. AOGCC written approval of the change is required before implementing the change.SecPageDateProcedure ChangeNew 403Required?Y / NHAKPreparedBy(Initials)HAKApprovedBy(Initials)AOGCC WrittenApproval Received(Person and Date)Approval:Asset Team Operations Manager DatePrepared:First Call Operations Engineer Date yOF7.4 0 • y\�����7.'6. THE STATE Alaska Oil and Gas " �� 0 Conservation Commission - , fALASIc:A Atli '� 333 West Seventh Avenue k, ' GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 NT-jr .":,0' Main: 907.279.1433 oFALAS Fax: 907.276.7542 www.aogcc.alaska.gov Taylor Nasse Operations Manager SCANNED SEP 2 8 2016 Hilcorp Alaska, LLC 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Deep Creek Field, Tyonek Undefined Gas Pool, Star 1 Permit to Drill Number: 204-117 Sundry Number: 315-567 Dear Mr.Nasse: Enclosed is the approved application for sundry approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed form. Under 20 AAC 25.105(a), all wells that have been permitted on a property under 20 AAC 25.005 must be abandoned before expiration of the owner's rights in that property. CIRI Lease C- 061684 expires on February 28, 2019 according to the Memorandum of Oil and Gas Lease C- 061684 that is on file with the Homer, Alaska Recording District. As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. Sincerely, 6y67 ii;_twVex...Cathy P. erster ,, Chair DATED this �-` day of May, 2016. RBDMS LV MAY 3 1 2016 V • ED STATE OF ALASKA SEP 1 5 2015 ALASKA OIL AND GAS CONSERVATION COMMISSION J dj$ / 1�• ' APPLICATION FOR SUNDRY APPROVALS � 20 AAC 25.280 1.Type of Request: Abandon❑ Plug Perforations❑ Fracture Stimulate ❑ Pull Tubing ❑ Operations shutdown ❑ Suspend❑ Perforate ❑ Other Stimulate ❑ Alter Casing ❑ Change Approved Program ❑ Plug for Redrill❑ Perforate New Pool ❑ Repair Well ❑ Re-enter Susp Well ❑ Other. Request for Suspended Wel Renewal Q , 2.Operator Name: 4.Current Well Class: 5.Permit to Drill Number: Hilcorp Alaska,LLC Exploratory Q. Development ❑ 204-117• 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service ❑ 6.API Number: Anchorage,AK 99503 50-231-20024-00-00 • 7.If perforating: 8.Well Name and Number. What Regulation or Conservation Order governs well spacing in this pool? N/A;20 AAC 25.055(a) Star 1 Will planned perforations require a spacing exception? Yes ❑ No 2 9.Property Designation(Lease Number): 10.Field/Pool(s): FEE-CIRI Deep Creek/Tyonek Undef Gas 11. PRESENT WELL CONDITION SUMMARY Total Depth MD(ft): Total Depth TVD(ft): Effective Depth MD(ft): Effective Depth TVD(ft): Plugs(measured): Junk(measured): 9,130 , 8,640 ' 4,674 4,417 5,390',8,082' 8,897(fish) Casing Length Size MD TVD Burst Collapse Structural Conductor 75' 16" 75' 74' • Surface 1,508' 9-5/8" 1,508' 1,508' 6,870 psi 4,750 psi Intermediate 4,522' 7" 4,522' 4,522' 7,240 psi 5,410 psi Production 9,108' 3-1/2" 9,108' 8,619' 10,160 psi 10,540 psi Liner Perforation Depth MD(ft): Perforation Depth TVD(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic 3-1/2" 9.2#/L-80 9,108 Packers and SSSV Type: Packers and SSSV MD(ft)and TVD(ft): Baker ZX Pkr;N/A 3,991'MD-3,821'TVD;N/A 12.Attachments: Description Summary of Proposal D 13.Well Class after proposed work: Detailed Operations Program ❑ BOP Sketch ❑ Exploratory Q Stratigraphic❑ Development❑ Service ❑ 14.Estimated Date for 15.Well Status after proposed work: Commencing Operations: September 30,1015 OIL ❑ WINJ ❑ WDSPL ❑ Suspended El• 16.Verbal Approval: Date: GAS ❑ WAG El GSTOR ❑ SPLUG ❑ Commission Representative: GINJ ❑ Op Shutdown ❑ Abandoned ❑ 17.I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Taylor Nasse Email tnasse p hilcorp.com Printed Name Taylor Nasse Title Operations Engineer Signature 7g4 ct,r" Phone 907-777-8354 Date /i`//(5 COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number: 315— She Plug Integrity ❑ BOP Test ❑ Mechanical/ Integrity Test ❑ Location Clearance ❑ Other: 0` 1 / / o /b— F 2O Z S ) S. Sct6per.54 a r. Jet c c-.< (01_ C C e K.r/✓`e-,t-- r-�-A— .4,4-C.- ZS. ii c ( ) Spacing Exception Required? Yes IIINo li Subsequent Form Required: N,,,,L;� RBDMS 1,t. MAY 3 1 2016 "...904A-4,...„....--- • APPROVED BY _Approved b" COMMISSIONER THE COMMISSION Date: �j - / t � N q.23 da'' Submit Form and Form 10-403 Revised 5/2015 o II lid for 12 nths from the date of approval. Attachments in Duplicatei /64f S. Z3./6) Suspended Well Inspection Data Well: Star 1 Surface Location: 1,358' FSL, 430' FWL, Sec. 24, T3S, R14W, S.M. Permit to Drill: 204-117 API: 50-231-20024-00-00 AOGCC Inspection Date: 08-20-15 AOGCC Inspector: Bob Noble Operator Rep: Chris Walgenbach Size Pressure (psi) Tubing 3-1/2" 80 Casing 9-5/8" 440 *Note: Wellhead pressures to be recorded monthly at minimum. Other Notes: • History: The Star 1 exploration well drilled in July 2004 to a depth of 9,130' with OBM targeting the Tyonek as found productive in the HV Field and at Ninilchik. The well was completed with 7" intermediate casing with a 3.5" production liner with a 3.5" tie back. The initial completion of the Tyonek flowed ^'0.4 MMSCFD @ 500 PSI from one • zone. Two more zones were added and this added some gas and water but the well loaded up and died. Another two zones were added in March 2005 but this did not add any rate. In May 2005 the well was plugged up to the Upper Tyonek and Beluga. The well has potential for additional zones in the Tyonek and lower Beluga that require a rig workover and/is a future sidetrack candidate. • Condition of Wellhead: Good • Condition of Surrounding Surface Location: Good • Follow Up Actions Needed: None Attachments: • Current Well Schematic • Pictures (4): Yes—State man Bob Noble • Plat- 1/4 mile radius of wellbore (KEN July 2015) Well Name: Star#1 Field: Wildcat State: Alaska Hilrora Alaska.LI,C API:50-231-20024 Conductor:16",82.77 ppf,K-55 to AOGCC:204-117 78' 1358'FSL&430'FWL Sec.24,T3S,R14W,SM Surface Casing:9%",47 ppf,L-80, RT-THF:16.40' BTCto 1508' Cmnt with 88 bbl of 12.8 ppg lead and Tbg lift threads-3%"IBT 29 bbl of 15.8 ppg tail"G" Tree cxn-2%"Bowen cxn Intermediate Casing:7",26 ppf,L-80, BTC-Mod to 4522' Completion -AnnulusloadedCmnt with 45 bbl of 12.8 ppg lead with 9.5 ppg X X lead and 18 bbl of 15.8 ppg"G"tail. -Baker"H"chemical injection nippleat A 2515' with 1/4",0.049"wall SS chemical injection line -Inline Baker ZX packer at 3991' % X Open Perfs: none Isolated Perfs: B100:4732'-4746'(6 spf,6/6/05) — UT3:5412'-5436'(6 spf,6/2/05) — T10:6098'-6114'(6 spf,6/1/05) T38:7431'-7455'(6 spf,5/28/05) T40:7625'-7641'(6 spf,5/27/05) T-63:8090'-8110'(6 spf,2.5",8/2/04) T-65:8274'-8302'(6 spf,2.5",8/1/04) — T-67:8366'-8396'(6 spf,2.5",7/31&9/11/04) Plugs: _ T-75:8532'-8552'(6 spf,2.5",9/11/04) HalliburtonMagnaRange CIBP at 4700', — T-81:8634'-8662'(2.5",6 spf,3/18/05) capped with cement to±4674'(6/9/05) — T-81:8668'-8683'(2",6 spf,9/17/04) Halliburton MAPS CIBP at 5390', — T-83:8777'-8797'(2.5",6 spf,3/18/05) capped with cement to 5359'(6/4/05) - T-83:8846'-8856'(2",6 spf,9/17/04) Halliburton MagnaRange CIBP at 8082', capped with cement to 8049'(5/26/05) Fish at 8897':38.7'x 2.5"OD SLB gun assembly,9/11/04 Directional Data: max hole angle=30.6 deg A Production Casing:3%",9.2 ppf,L-80, KOP=1500' IBT-Mod to 9108' max doglegs: 3.5 deg/100'at 2749' PBTD=9040' Cmnt with 157 bbl of 12.0 ppg Litecrete 3.7 deg/100'at 5957' TD=9130' Star-1 Schematic 6-14-05 Updated by:JGE • • i. r • '- >. '' Vii, �%- i':;: irr,.'' ,- . v Q 4 "7..i/yjy,I •,'Y�Y/3.,/ C '.-.3.-;:-.;:-,-,,-:::,....:; /'/f/i /' /� ..,2 i%%r%/= iii.. ✓00�✓� . r i 1 . M •u�.,ztm s�.r- •vxammuwumso e li Q,w,^^ t ii a�ltM'G1:fs e'3����� O 0VI :'ni ?'4''iii Cal "���r�� r limiiiIIIIIIIII . 0 ,i. /s Rig. ow ion eimi in ow iiii Mi U CI) nilj II 4.. actF * o < r s•a.ctaii.74'4 4..-%1.,t.„,%.„ % %i a•,.,®e'mi ;: ..� a . JJJIJ 444 /134�a4%- itt�te % s 441 141% 911 �C....,,1tsL,44404 '.4 ,t,-"'"''''',' '' : ,, ,tb \ \�h\ii 1 a„. %%%%,,�� �� \����4 till C) O (1) I-i ca. (C. ..„ v"-C) a / ,,,,,r Ice I'+� 1004: �`co p c, N O. ��� IPIP 010.0 1/000 diglisl �,a 00�,r1,,,�', ,0 111 1� �► � �' . 4 ip ..'k”w.O.-Pl010 • • ti, qk sw' \74, k ,,,4 + j 1 .x �. r 1 " 4 • 1 rr �} • • STARISKY PAD STAR 1 'o Hilcorp Alaska Suspended Well Location Quarter Mile Radius Map Star 1 0 r00 2,000 FEET POSTED WELL DATA Well Label • WELL SYMBOLS Suspended Gas Well Gl Unknown Status September 2.2015 • Note to File Star No. 1 PTD No. 204-117 By Sundry Application No. 315-567, submitted in September 2015, Hilcorp requests the AOGCC renew the suspended status of the Star No. 1 exploratory well for another five years. The surface location and upper portion of Star No. 1 lie within the Deep Creek Unit, which is owned and operated by Hilcorp. The lower portion and the bottom-hole location of the well lie within adjacent CIRI acreage that lies outside of the Deep Creek Unit. At that time, Hilcorp did not own or operate that CIRI acreage. Sundry Application No. 315-567 was initially held awaiting additional information from Hilcorp, and later awaiting a decision concerning how best to address issues regarding suspension or possible partial plugging of this split-estate well. Fortunately, ownership and operatorship issues regarding the CIRI acreage have been resolved. By Memorandum of Oil and Gas Lease C-061684 (attached), effective March 1, 2016, CIRI grants ownership rights to Hilcorp for CIRI Lease No. C-061684—which contains the lower portion and the bottom-hole location of Star No. 1—until the lease expires on February 29, 2019 [sic]. Notice of Ownership and Designation of Operator forms for this lease were filed with the AOGCC during mid-May, 2016. Star No. 1 may have future utility as a redrill to a new bottom-hole location within Lease No. C-061684. Star No. 1 also contains several un-tested sands that may have some commercial potential (see attached AOGCC cross-section). Recommendation: Approve Hilcorp's request for suspended well renewal, but include this additional text within AOGCC's approval letter. "Under 20 AAC 25.105(a), all wells that have been permitted on a property under 20 AAC 25.005 must be abandoned before expiration of the owner's rights in that property. CIRI Lease C-061684 expires on February 28, 2019 according to the Memorandum of Oil and Gas Lease C-061684 that is on file with the Homer, Alaska Recording District." A reminder note has been placed in the RBDMS records for exploratory wells Star No. 1 (PTD 204-117) and Greystone No. 1 (PTD 216-067) and also on the AOGCC's compliance calendar for February 28, 2018 to allow the operator a one-year advance notice. ♦ r S. Davies May 25, 2016 • • Please record in the Homer Recording District A 2016-000713-0 After recording return to: � Hilcorp Alaska, LLC A Recording Dist: 309 - Homer 3800 Center Point Drive, Suite 1400 s 3/24/2016 10:02 AM Pages: 1 of 3 Anchorage, AK 99503 ATTN: Land Manager A 11111111111111 fihlIlil IHIf liii lilt I III MEMORANDUM OF OIL AND GAS LEASE C-061684 Record in the Kenai Recording District This Memorandum of Lease is intended to give notice of a Lease styled OIL AND GAS LEASE effective as of March 1, 2016 by and between Cook Inlet Region, Inc. (CIRI), an Alaska corporation, as Lessor, and HiIcorp Alaska LLC, a Delaware limited liability company, as Lessee. Pursuant to the terms of said Lease, Lessee has the exclusive right to explore for and the exclusive right to produce and market oil, gas, and associated hydrocarbon substances until lease expiration on February 29,2019, unless sooner terminated, on the lands described on the attached Exhibit A (the Subject Lands). The Lease also provides for the Lessee to maintain the lease for so long thereafter as Lessee is producing oil, gas or associated hydrocarbons in paying quantities therefrom, and on such other terms and conditions as set forth in the Lease. This Memorandum, recorded in the Kenai Recording District, is intended to summarize some of the provisions of the Lease but in no way changes, modifies or otherwise affects any provision of the Lease. Further information regarding the Lease may be obtained from the parties at the following addresses: Hilcorp Alaska, LLC Cook Inlet Region,Inc. 3800 Centerpoint Dr, Suite 1400 725 E.Fireweed Lane,Suite 800 Anchorage,AK 99503 Anchorage,AK 99503 Attention: Land Manager Attention: Land and Resources Executed this 23 day of'11A:kd2016. Executed this day of/41 2016. HILCORP ALASKA,LLC COOK INL REGION, INC. fL0416,11 Ar "my By: D. _ , ilkins By: J:so . Brune Its: Senior Vice President, Its: -nior Director, Hilcorp of Alaska, LLC Land and Resources Memorandum of Oil and Gas Lease C-061684 Page 1 of 3 eRecorded Document • STATE OF ALASKA ) )ss. THIRD JUDICIAL DISTRICT ) On this 23 day of NU...rev-I 2016, before me the undersigned, a Notary Public in and for the District and State, personally appeared Jason W. Brune known to me to be the person whose name is subscribed as Senior Director, Land and Resources for Cook Inlet Region, Inc.,and acknowledged to me that he executed within the instrument as the act of his principal for the purposes therein contained. IN WITNESS WHEREOF I have hereunto set my hand and official seal the day and year first above-written. STATE OF ALASKA Z/0/14 0/144 — NOTARY PUBLIC Notary Public in and for Alaska Tan is ha Gleason My Commission Expires: June 1120 Of 111y Con)rnis$/on Expires:June 1,2018 STATE OF ALASKA ) ) ss. THIRD JUDICIAL DISTRICT ) On this 73 day of nAlkft.CY 2016, before me the undersigned, a Notary Public in and for the County and State,personally appeared David S. Wilkins known to me to be the person whose name is subscribed as Senior Vice President for Hilcorp Alaska, LLC and acknowledged to me that he executed within the instrument as the act of his principal for the purposes therein contained. IN WITNESS WHEREOF I have hereunto set my hand and official seal the day and year first above-written. -;) STATE OF ALASKA Notary Public in and fbr Alaska NOTARY PUBLIC My Commission Expires: 2-0/ %‘-f,'•; )ff David W, Duffy • My Commiss;on Expires Sep 1,2017 Memorandum of Oil and Gas Lease C-061684 Page 2 of 3 11111111111111111 II 2 of 3 eRecorded Document 2016-000713-0 O Exhibit A Seward Meridian, Alaska Township 3 S., Range 14 W. Section 22 and 23; Sections 25 to 28 inclusive; Sections 33 to 36 inclusive. Containing approximately 6,400 acres more or less (such tract referred to in this Lease as the"Leased Area"): Memorandum of Oil and Gas Lease C-061684 Page 3 of 3 11111111111111111 3 of 3 eRecorded Document 2016-000713-0 • • Davies, Stephen F (DOA) From: David Duffy <dduffy@hilcorp.com> Sent: Wednesday, May 18, 2016 3:19 PM To: Davies, Stephen F (DOA) Subject: RE: FW - Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Will do. Sent from my Windows Phone From: Davies, Stephen F (DOA)<mailto:steve.davies@alaska.gov> Sent: 5/18/2016 3:14 PM To: David Duffy<mailto:dduffy@hilcorp.com> Subject: FW: FW-Star 1 (PTD#204-117)-Designation of Operator for CIRI Lease David, Please forward a signed original copy of the Notice of Ownership form to the AOGCC as soon as you can. I appreciate your help with this. Thank you, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. Sent from my desktop PC Original Message From:Jason Brune [mailto:JBrune@ciri.com] Sent: Wednesday, May 18, 2016 2:22 PM To: David Duffy; Davies, Stephen F (DOA) Cc: Kevin Tabler; Colleen Miller; Ethan Schutt Subject: RE: FW-Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease As requested, please find a signed copy of the notice of ownership form for the Star Prospect. We will deliver the original to Hilcorp Alaska, LLC. Please let me know if you need anything else. Thank you. Jason Brune Sr. Director, Land and Resources Cook Inlet Region, Inc. CIRI 1 0 • PO Box 93330, Anchorage,Alaska 99509 direct (907) 263-5104 mobile (907) 382-4353 The information contained in this CIRI email message may be privileged, confidential and protected from disclosure. If you are not an intended recipient, please notify the sender by reply email and delete the message and any attachments immediately. The use, disclosure, dissemination, distribution or reproduction of this CIRI message or the information in it or attached to it by any unintended recipient is unauthorized,strictly prohibited by the sender, and may be unlawful. Thank you. 2 r • DRAFT STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION NOTICE OF OWNERSHIP* 20 MC 25.022 1.Name of Current Owner of Record: Cook Inlet Region,Inc. 2,Address: PO Box 93330 Anchorage,AK 99509 3,Notice is hereby given that the above named owner ,landowner n ,of record for the oil and gas property described below has assigned or transferred interest in the property indicated below: Property Designation: CIRI Lease C-061684 Legal description of property: Field or Unit: Township 03S,Range 14W,S.M.AK Star Prospect Sections 22,23,25,26,27,28,33,34,35 and 36 Property plat attached 4. Effective date of assignment or transfer: 5. Percentage interest assigned or transferred: 311/2016 100%Working Interest 6. Assignee or Transferee(new owner): Address: Hitcorp Alaska,LLLC 3800 Centerpoint Drive,Suite 1400 Anchorage,AK 99503 7. Assignor or Transferor(existing owner): Address: Cook Inlet Region,Inc. PO Box 93330 Anchorage,AK 99509 8.Assignor or Transferor hereby certifies that the foregoing is true and correct(attach Power of Attorney or other evidence of authority of person signing): t,Signature: Date: At. S Printed Name: Title: S r 'ti ?te4J4.4 1,6ia ,. `This form is required to be filed with the Alaska Oil and Gas Conservation Commission within 15 days after a person becomes owner of a property pursuant to 20 AAC 25.022 and upon all subsequent changes in ownership. Form 10-417 Rev.12/2005 • Davies, Stephen F (DOA) From: David Duffy <dduffy@hilcorp.com> Sent: Wednesday, May 18, 2016 1:47 PM To: Davies, Stephen F (DOA) Cc: Larry Greenstein; Bettis, Patricia K (DOA) Subject: RE: FW - Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Will do. Thanks for looking into this. David Original Message From: Davies, Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent: Wednesday, May 18, 2016 1:45 PM To: David Duffy Cc: Larry Greenstein; Bettis, Patricia K(DOA) Subject: FW: FW-Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease David, Regulation 20 AAC 25.022 applies to all Alaska lands, whether state,federal, or private. The draft Notice of Ownership form that you provided (attached) is correct. Please submit a signed copy as soon as you can. Again, please note that Power of Attorney or other proof of signatory authority is required for the CIRI representative who signs the form. Hilcorp's previously submitted Designation of Operator form is correct. Pertinent definitions from the regulations and statutes are: 1. Regulation 20 AAC 25.990 (35): "landowner" has the meaning given in AS 31.05.170; Statute AS 31.05.170(7): "landowner" means the owner of the subsurface estate of the tract affected; 2. Regulation 20 AAC 25.990 (47): "owner" has the meaning given in AS 31.05.170; Statute AS 31.05.170 (10): "owner" means the person who has the right to drill into and produce from a pool and to appropriate the oil and gas the person produces from a pool for that person and others; 3. Regulation 20 AAC 25.990 (46): "operator" means an owner or a person authorized by an owner who is responsible for drilling, development, production, injection, disposal, storage, abandonment, and location clearance; Thanks for your help with this. Please let me know if you have any additional questions. Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may or federal law. If you are an unintended recipient of this e-mail, please delete it,without first savingor violate state dp 1 • • forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. Original Message From: David Duffy [mailto:dduffy@hilcorp.com] Sent: Tuesday, May 17, 2016 8:59 AM To: Davies,Stephen F (DOA) Cc: Larry Greenstein Subject: RE: FW-Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Morning Steve, I've prepared a draft Notice of Ownership form. Before I get CIRI to sign and attach the required documentation,can you confirm this fits the bill? By noting CIRI as the current "landowner" (box 2) and Hilcorp as the Assignee (box 6), Hilcorp will then become recognized as the Owner of Record -and my previously submitted Designation of Operator form should work. Sorry for the confusion. Hope this gets us back on track. If not, let me know and I'll jump on it. David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s) only. In the event you receive this message in error, please notify me and delete the message. Original Message From: David Duffy Sent: Monday, May 16, 2016 11:56 AM To: 'Davies, Stephen F (DOA)' Subject: RE: FW-Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Hi Steve, When filling out the AOGCC Designation of Operator Form, I followed the definition of AS 31.05.170(10), which defines "owner" as the person who has the right to drill into and produce from a pool and to appropriate the oil and gas the person produced from a pool for that person and others. CIRI did not sell or otherwise transfer its mineral ownership to Hilcorp. CIRI owns the O&G rights and has leased those rights to Hilcorp. Under the lease, CIRI is the lessor(owner of the minerals) and Hilcorp is the lessee(i.e., person with 2 • . the rights to drill and produce for itself and CIRI). Under that rational, I thought Hilcorp best met the definition of "owner" -as thus listed Hilcorp on the Designation of Operator form. If a Notice of Ownership form applies to a private exploratory lease, I'd be glad to fill it out. Otherwise, it looks like the wording of the recorded lease memo may have thrown you off base. I'm in the office today and available to discuss. Thanks, David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s) only. In the event you receive this message in error, please notify me and delete the message. Original Message From: Davies, Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent: Monday, May 16, 2016 10:22 AM To: David Duffy Subject: FW-Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease David, A bit of further explanation may help clarify what I am seeking. Upon receiving the Permit to Drill application for Greystone 1, I noted the property designation on the application form is listed as CIRI lease C-061684. The accompanying property plat also labels this lease as "CIRI_Lease_C-061684." So, I assumed that CIRI is the owner of the lease and that CIRI has designated Hilcorp as operator for the lease. Accordingly, I requested a Designation of Operator form from Hilcorp, and I expected to see CIRI listed as Current Owner of Record on that Designation of Operator form. Instead, Hilcorp is listed on that form as the Current Owner of Record. According to a Memorandum of Oil and Gas Lease C-061684 filed with the Kenai Recording District, Hilcorp has purchased ownership of the lease from CIRI, so a Notice of Ownership form (Form 10-417) is required under 20 AAC 25.022. Please note that the signature required on that Notice of Ownership form is from a representative of CIRI because CIRI is the Assignor of ownership for lease C-061684 and Hilcorp is the Assignee. Please note also that a Power of Attorney or other evidence of authority is required for that CIRI representative. Please let me know if you have any questions. Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. 3 • • Original Message From: Davies, Stephen F (DOA) Sent: Monday, May 16, 2016 9:29 AM To: 'David Duffy' Subject: RE: Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Thank you David. Hilcorp is listed as the Current Owner of Record on the Designation of Operator form filed for CIRI lease C-061684. Per 20 AAC 25.022*, could Hilcorp please file a Notice of Ownership form (Form 10-417)for this lease that documents transfer of ownership from CIRI to Hilcorp? Thank you, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it, without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. * 20 AAC 25.022. Notice of ownership Within 15 days after a person becomes an owner of a property on which operations subject to this chapter are proposed to the commission or are being conducted,the person shall file a Notice of Ownership(Form 10-417). Source: http://www.legis.state.ak.us/basis/aac.asp#20.25.022 Original Message From: David Duffy [mailto:dduffy@hilcorp.com] Sent: Friday, May 13, 2016 9:11 AM To: Davies,Stephen F (DOA) Subject: RE: Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Steve, Here's an electronic copy of our Designation of Operator form. I'll bring the two signed originals to your office within the hour. David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s) only. In the event you receive this message in error, please notify me and delete the message. 4 • • Original Message From: Davies, Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent:Thursday, May 12, 2016 5:22 PM To: David Duffy Subject: RE: Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Thank you! Original Message From: David Duffy [mailto:dduffy@hilcorp.com] Sent:Thursday, May 12, 2016 5:18 PM To: Davies, Stephen F (DOA); Kevin Tabler Subject: RE: Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Steve, Thanks for the emails. I'll get started on the form tomorrow. The new CIRI lease covers 10 sections, and includes both the Star and Greystone wells. David Sent from my Windows Phone From: Davies, Stephen F (DOA)<mailto:steve.davies@alaska.gov> Sent: 5/12/2016 4:49 PM To: David Duffy<mailto:dduffy@hilcorp.com> Subject: Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease David, As a continuation of my email regarding the Designation of Operator form for Greystone 1, did Hilcorp reach an agreement with CIRI to operate Section 23,T3S, R14W,SM, which contains the bottom-hole location of the Star 1 exploratory well? If so, could Hilcorp please provide a Designation of Operator form for the lease that encompasses that section? Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it, without first saving or forwarding it, and,so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov<mailto:steve.davies@alaska.gov>. 5 • • Davies, Stephen F (DOA) From: David Duffy <dduffy@hilcorp.com> Sent: Tuesday, May 17, 2016 9:12 AM To: Davies, Stephen F (DOA) Subject: RE: FW - Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Sounds good,thanks. The AOGCC definition of"owner"vs "landowner" always throws me off. Original Message From: Davies, Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent:Tuesday, May 17, 2016 9:03 AM To: David Duffy Subject: RE: FW-Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Hi David, Apologies for the delayed reply; I was out of the office most of yesterday and just got in. I'm sending an email in to AOGCC's attorney to ensure that I'm interpreting the regulation correctly. I'll let you know as soon as I receive a reply. Thanks for your patience, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. Sent from my desktop PC Original Message From: David Duffy [mailto:dduffy@hilcorp.com] Sent:Tuesday, May 17, 2016 8:59 AM To: Davies, Stephen F (DOA) Cc: Larry Greenstein Subject: RE: FW-Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Morning Steve, I've prepared a draft Notice of Ownership form. Before I get CIRI to sign and attach the required documentation,can you confirm this fits the bill? 1 • , Davies, Stephen F (DOA) From: David Duffy <dduffy@hilcorp.com> Sent: Friday, May 13, 2016 9:11 AM To: Davies, Stephen F (DOA) Subject: RE: Star 1 (PTD #204-117) - Designation of Operator for CIRI Lease Attachments: 20160513090356449.pdf Steve, Here's an electronic copy of our Designation of Operator form. I'll bring the two signed originals to your office within the hour. David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s) only. In the event you receive this message in error, please notify me and delete the message. Original Message From: Davies, Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent:Thursday, May 12, 2016 5:22 PM To: David Duffy Subject: RE: Star 1 (PTD#204-117) -Designation of Operator for CIRI Lease Thank you! Original Message From: David Duffy [mailto:dduffy@hilcorp.corn] Sent:Thursday, May 12, 2016 5:18 PM To: Davies,Stephen F (DOA); Kevin Tabler Subject: RE: Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Steve, Thanks for the emails. I'll get started on the form tomorrow. The new CIRI lease covers 10 sections, and includes both the Star and Greystone wells. David Sent from my Windows Phone From: Davies, Stephen F (DOA)<mailto:steve.davies@alaska.gov> Sent: 5/12/2016 4:49 PM To: David Duffy<mailto:dduffy@hilcorp.com> Subject:Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease David, 1 • . As a continuation of my email regarding the Designation of Operator form for Greystone 1, did Hilcorp reach an agreement with CIRI to operate Section 23,T3S, R14W,SM, which contains the bottom-hole location of the Star 1 exploratory well? If so, could Hilcorp please provide a Designation of Operator form for the lease that encompasses that section? Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or Steve.davies@alaska.gov<mailto:steve.davies@alaska.gov>. 2 • • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION DESIGNATION OF OPERATOR 20 AAC 25.020 1. Name and Address of Current Owner of Record: Hilcorp Alaska, LLC 3800 Centerpoint Drive,Suite 1400 Anchorage,Alaska 99503 2. Notice is hereby given of a designation of operatorship for the oil and gas property described below: Legal description of property: CIRI Lease C-061684 Township 03S, Range 14W,S.M.AK Sections 22,23,25,26,27, 28, 33,34, 35 and 36 Property Plat Attached: 0 3. Name and Address of Designated Operator: Hilcorp Alaska,LLC 3800 Centerpoint Drive, Suite 1400 Anchorage,Alaska 99503 4. Effective Date of Designation: 3/1/2016 (effective date of lease) 5, Acceptance of operatorship for the above described property with all attendant responsibilities and obligations is hereby acknowledged attach Power of Attorney or other evidence of authority of person signing): Signature ' ..23*------ Date ./13 1x0 16 \ Printed Name • n A.Barnes Title Vice President _ 6. The Owner hereby certifies that the foregoing is true and correct(attach Power of Attorney or other evidence of authority of person signing): Ai? Signature ‘" k I ).......____ Date 51/3 /2.4_, i 6, Printed Name John A. 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L7 talyli,...:'''..'....''1 f ��r � I '.ts:.,_, Cooklnlet_Unit_Boundaries_HAK C-061684 0 10,000 20,000 14 Effective March 1 , 2016 Feet N Alaska 4,NAD27 Hdcorp Alaska,LLC Map Date:StatePlane 5/10/2016 Zone • • HILCORP ALASKA,LLC WRITTEN CONSENT OF THE SOLE MEMBER June 1,2015 The undersigned, being the sole member (the "Member") of Hilcorp Alaska, LLC, a Delaware limited liability company ("Hilcorp Alaska"),does hereby, pursuant to Section 18-302 of the Delaware Limited Liability Company Act, vote for, adopt, approve and consent to the following resolutions and the actions contemplated hereby with the same force and effect as if such resolutions were adopted by a vote at a formal meeting duly convened for such purposes pursuant to notice. WHEREAS, the Member desires to appoint or re-appoint (as the case may be) the following persons as executive officers of Hilcorp Alaska (the "Appointed Officers") to constitute all of the executive officers of Hilcorp Alaska effective as of 12:01 a.m., central, on June 1,2015, in lieu of all other persons who may have held such positions previously; NOW, THEREFORE, BE IT RESOLVED, that the following persons are appointed to the executive officer positions and title set forth opposite their respective names, each to serve until his or her death, resignation or removal in the manner authorized by the limited liability company agreement of Hilcorp Alaska in effect from time to time or until his or her successor or successors shall have been duly elected and qualified: Name Title Greg Lalicker President Jason C. Rebrook Executive Vice President Dave Wilkins Senior Vice President-Operations Shelbie DeZell Vice President and Chief Financial Officer John Barnes Vice President Ann M. Kaesermann Vice President and Treasurer Kurtis Gibson Vice President—Marketing William P. Swenson Secretary Marc Bond Assistant Secretary RESOLVED, that the Appointed Officers constitute all of the executive officers of Hilcorp Alaska effective as of 12:01 a.m., central, on June 1, 2015, in lieu of all other persons who may have held such positions previously; and further RESOLVED. that each Appointed Officer shall have and may exercise such powers, authorities and duties on behalf of Hilcorp Alaska as are assigned to such office in the limited liability company agreement. of Hilcorp Alaska as in effect from time to time or as may be delegated to such Appointed Officer by the Member; and further RESOLVED, that any and all actions taken by the Appointed Officers. in the name and on behalf of Hilcorp Alaska. and prior to the adoption of these resolutions, which are within the authority conferred by these resolutions, are hereby in all respects authorizedadoptedratified, confirmed and approved. IN WITNESS WHEREOF, the undersigned has duly executed this Unanimous Written Consent,as of the date first above written, in the capacity indicated below. HILCORP ENERGY 1. L.P., the sole member of Hilcorp Alaska, LLC By: HILCORP ENERGY COMPANY. its general partner B y: ) , JelTer) p. Hildebrand Chief tkecutive Officer • • Davies, Stephen F (DOA) From: Davies, Stephen F(DOA) Sent: Wednesday, December 16, 2015 11:29 AM To: Taylor Nasse (tnasse@hilcorp.com) Cc: Schwartz, Guy L(DOA); Roby, David S (DOA); Bettis, Patricia K(DOA) Subject: RE: Star No. 1 (PTD No. 204-117, Sundry No. 315-567) Taylor, In follow-up to my requests for additional information, below, Regulation 20 AAC 25.110(m)states: (m)At any time, the commission may request that an operator provide, within 10 days after the date of request, any information concerning whether suspension remains appropriate for a well. If the operator does not comply with the information request or if the commission determines that information is insufficient to support allowing the well to remain suspended, the commission may take action under 20 AAC 25.540, including(1)revoking the well's suspended status, effective as of the date determined by the commission;and(2)prescribing actions the operator must take, which may include plugging and abandonment of the well;if action is ordered, including plugging and abandonment under this chapter, a separate notice and hearing is not required notwithstanding any other provision of this chapter, including 20 AAC 25.105. (See 20 AAC 25.110.) Regulation 20 AAC 25.300 states: Notwithstanding any other provision of this chapter, if the commission requests that a person provide information or documentation regarding a matter within the commission's jurisdiction, that person must provide that information and documentation within 30 days of the date the request was sent or within another period of time specified by the commission. More than 30 days have elapsed since AOGCC's initial request for the additional information. If the requested information is not received within 10 days,the AOGCC will rule on Hilcorp's application based on the information before us, and Hilcorp may be subject to an enforcement action. Please let me know if you have any questions. Regards, Steve Davies Senior Petroleum Geologist Alaska Oil and Gas Conservation Commission (AOGCC) Phone: 907-793-1224 AOGCC: 907-279-1433 Fax: 907-276-7542 333 West 7th Avenue,Suite 100 Anchorage,AK 99501 CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail,please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Steve Davies at 907-793-1224 or steve.davies( alaska.gov. Ac. 5Cc' Wiz- / y<%� *�v � 1 +—h c' , 7 =%l6 c 5 a re Y°L e C- Z !i 4l Lei ! ✓'Y.�"�t C,�,(a-„- 49 5<(.c� /LI 170-'¢-. f ` • • From: Davies, Stephen F (DOA) Sent: Wednesday, December 16, 2015 9:18 AM To: Taylor Nasse (tnasse@hilcorp.com) Cc: Schwartz, Guy L(DOA); Roby, David S (DOA); Bettis, Patricia K(DOA) Subject: RE: Star No. 1 (PTD No. 204-117, Sundry No. 315-567) Taylor, As stated in the emails below, Hilcorp's Sundry Application (315-567)to renew suspended status for Star No. 1 will be held until additional information (requested below) is provided. If you have any questions, please email or call. Regards, Steve Davies Senior Petroleum Geologist Alaska Oil and Gas Conservation Commission (AOGCC) Phone: 907-793-1224 • AOGCC: 907-279-1433 Fax: 907-276-7542 333 West 7th Avenue,Suite 100 Anchorage,AK 99501 CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. From: Davies, Stephen F (DOA) Sent: Tuesday, November 17, 2015 8:35 AM To: Taylor Nasse (tnasse(ahilcorp.com) Cc: Schwartz, Guy L(DOA); Roby, David S (DOA); Bettis, Patricia K(DOA) Subject: RE: Star No. 1 (PTD No. 204-117, Sundry No. 315-567) Taylor, Hilcorp's Sundry Application (315-567)to renew suspended status for Star No. 1 will be held until the additional information requested below is provided. If you have any questions, please email or call. I will be out of the office from November 23 to 30. Regards, Steve Davies Senior Petroleum Geologist Alaska Oil and Gas Conservation Commission (AOGCC) Phone: 907-793-1224 AOGCC: 907-279-1433 Fax: 907-276-7542 333 West 7th Avenue,Suite 100 Anchorage,AK 99501 CONFIDENTIALITY NOTICE: This e-mail message,including any attachments,contains information from the Alaska Oil and Gas Conservation Commission(AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If 2 • • you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. From: Davies, Stephen F (DOA) Sent: Monday, October 12, 2015 10:54 AM To: Taylor Nasse (tnasse@ hilcorp.com) Cc: Schwartz, Guy L(DOA); Roby, David S (DOA); Bettis, Patricia K(DOA) Subject: Star No. 1 (PTD No. 204-117, Sundry No. 315-567) Taylor, Hilcorp's justification for continued suspension status for Star No. 1 is insufficient. In support of this Sundry Application, please: 1. describe in detail each potential interval of interest for further testing, 2. explain why each interval is of interest to Hilcorp, 3. briefly describe the test procedures to be conducted on each interval, and 4. provide a specific time frame for conducting that testing. Or, if Star No. 1 is instead a candidate for redrilling to a new location, please feel free to schedule a brief technical review meeting with AOGCC staff. I will hold the Sundry Application for Star No. 1 pending this additional information from Hilcorp. Please let me know if you have any questions or if I can help further. Regards, Steve Davies Senior Petroleum Geologist Alaska Oil and Gas Conservation Commission (AOGCC) Phone: 907-793-1224 AOGCC: 907-279-1433 Fax: 907-276-7542 333 West 7th Avenue,Suite 100 Anchorage,AK 99501 CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail,please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. Sent from my desktop PC 3 • • V i/7 Davies, Stephen F (DOA) From: David Duffy <dduffy@hilcorp.com> Sent: Wednesday, May 18, 2016 3:19 PM To: Davies, Stephen F(DOA) z Subject: RE: FW- Star 1 TD#204-117) - Designation of Operator for CIRI Lease (2-6--&-,a(1 Will do. Sent from my Windows Phone From: Davies,Stephen F(DOA)<mailto:steve.davies@alaska.gov> Sent:5/18/2016 3:14 PM To: David Duffy<mailto:dduffy@hilcorp.com> Subject: FW: FW-Star 1 (PTD#204-117)-Designation of Operator for CIRI Lease David, Please forward a signed original copy of the Notice of Ownership form to the AOGCC as soon as you can. I appreciate your help with this. Thank you, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. Sent from my desktop PC scam FEE' 0 62017 Original Message From:Jason Brune[mailto:JBrune(Wciri.com) Sent: Wednesday, May 18, 2016 2:22 PM To: David Duffy; Davies, Stephen F(DOA) Cc: Kevin Tabler;Colleen Miller; Ethan Schutt Subject: RE: FW-Star 1(PTD#204-117)-Designation of Operator for CIRI Lease As requested, please find a signed copy of the notice of ownership form for the Star Prospect. We will deliver the original to Hilcorp Alaska, LLC. Please let me know if you need anything else. Thank you. Jason Brune Sr. Director, Land and Resources Cook Inlet Region, Inc. CIRI 1 , - /77 Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Monday, May 16, 2016 10:22 AM To: David Duffy(dduffy@hilcorp.com) Subject: FW- Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease David, A bit of further explanation may help clarify what I am seeking. Upon receiving the Permit to Drill application for Greystone 1, I noted the property designation on the application form is listed as CIRI lease C-061684. The accompanying property plat also labels this lease as "CIRI_Lease_C-061684." So, I assumed that CIRI is the owner of the lease and that CIRI has designated Hilcorp as operator for the lease. Accordingly, I requested a Designation of Operator form from Hilcorp,and I expected to see CIRI listed as Current Owner of Record on that Designation of Operator form. Instead, Hilcorp is listed on that form as the Current Owner of Record. According to a Memorandum of Oil and Gas Lease C-061684 filed with the Kenai Recording District, Hilcorp has purchased ownership of the lease from CIRI,so a Notice of Ownership form (Form 10-417) is required under 20 AAC 25.022. Please note that the signature required on that Notice of Ownership form is from a representative of CIRI because CIRI is the Assignor of ownership for lease C-061684 and Hilcorp is the Assignee. Please note also that a Power of Attorney or other evidence of authority is required for that CIRI representative. Please let me know if you have any questions. Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and,so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. Original Message From: Davies,Stephen F (DOA) Sent: Monday, May 16, 2016 9:29 AM To: 'David Duffy' Subject: RE:Star 1(PTD#204-117)-Designation of Operator for CIRI Lease Thank you David. Hilcorp is listed as the Current Owner of Record on the Designation of Operator form filed for CIRI lease C-061684. Per 20 AAC 25.022*,could Hilcorp please file a Notice of Ownership form (Form 10-417)for this lease that documents transfer of ownership from CIRI to Hilcorp? 1 Thank you, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and,so that the AOGCC is aware of the mistake in sending it to you,contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. * 20 AAC 25.022. Notice of ownership Within 15 days after a person becomes an owner of a property on which operations subject to this chapter are proposed to the commission or are being conducted,the person shall file a Notice of Ownership(Form 10-417). Source: http://www.legis.state.ak.us/basis/aac.asp#20.25.022 Original Message From: David Duffy[mailto:dduffy@hilcorp.com] Sent: Friday, May 13,2016 9:11 AM To: Davies,Stephen F(DOA) Subject: RE:Star 1(PTD#204-117)-Designation of Operator for CIRI Lease Steve, Here's an electronic copy of our Designation of Operator form. I'll bring the two signed originals to your office within the hour. David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s)only. In the event you receive this message in error, please notify me and delete the message. Original Message From: Davies,Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent:Thursday, May 12, 2016 5:22 PM To: David Duffy Subject: RE:Star 1 (PTD#204-117)-Designation of Operator for CIRI Lease Thank you! Original Message From: David Duffy [mailto:dduffy@hilcorp.com] Sent:Thursday, May 12, 2016 5:18 PM To: Davies,Stephen F(DOA); Kevin Tabler Subject: RE:Star 1(PTD#204-117)-Designation of Operator for CIRI Lease 2 i Steve, Thanks for the emails. I'll get started on the form tomorrow. The new CIRI lease covers 10 sections, and includes both the Star and Greystone wells. David Sent from my Windows Phone From: Davies,Stephen F (DOA)<mailto:steve.davies@alaska.gov> Sent: 5/12/2016 4:49 PM To: David Duffy<mailto:dduffy@hilcorp.com> Subject:Star 1(PTD#204-117)-Designation of Operator for CIRI Lease David, As a continuation of my email regarding the Designation of Operator form for Greystone 1, did Hilcorp reach an agreement with CIRI to operate Section 23,T3S, R14W,SM,which contains the bottom-hole location of the Star 1 exploratory well? If so,could Hilcorp please provide a Designation of Operator form for the lease that encompasses that section? Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission(AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and,so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov<mailto:steve.davies@alaska.gov>. 3 • A 2016-002416-0 A Recording Dist: 302 - Kenai s 3/24/2016 09:30 AM Pages: 1 of 3 A I III 101111 II101111111II1111111110111111111111111111111 MEMORANDUM OF OIL AND GAS LEASE C-061684 Record in the Kenai Recording District This Memorandum of Lease is intended to give notice of a Lease styled OIL AND GAS LEASE effective as of March 1, 2016 by and between Cook Inlet Region, Inc. (CIRI), an Alaska corporation, as Lessor, and Hilcorp Alaska LLC, a Delaware limited liability company, as Lessee. Pursuant to the terms of said Lease, Lessee has the exclusive right to explore for and the exclusive right to produce and market oil, gas, and associated hydrocarbon substances until lease expiration on February 29, 2019, unless sooner terminated, on the lands described on the attached Exhibit A (the Subject Lands). The Lease also provides for the Lessee to maintain the lease for so long thereafter as Lessee is producing oil, gas or associated hydrocarbons in paying quantities therefrom, and on such other terms and conditions as set forth in the Lease. This Memorandum, recorded in the Kenai Recording District, is intended to summarize some of the provisions of the Lease but in no way changes, modifies or otherwise affects any provision of the Lease. Further information regarding the Lease may be obtained from the parties at the following addresses: Hilcorp Alaska, LLC Cook Inlet Region,Inc. 3800 Centerpoint Dr,Suite 1400 725 E. Fireweed Lane,Suite 800 Anchorage,AK 99503 Anchorage,AK 99503 Attention: Land Manager Attention: Land and Resources Executed this 23 day of2016. Executed this day of/ud•1 2016. HILCORP ALASKA, LLC COOK INL REGION, INC. doe(7, 11(0, 400 By: D.14117. ilkins By: to .Brune Its: Senior Vice President, Its: . nior Director, Hilcorp of Alaska, LLC Land and Resources Memorandum of Oil and Gas Lease C-061684 Page 1 of 3 eRecorded Document • • STATE OF ALASKA ) ) ss. THIRD JUDICIAL DISTRICT ) On this z3 , day of Marc-, 2016, before me the undersigned, a Notary Public in and for the District and State, personally appeared Jason W. Brune known to me to be the person whose name is subscribed as Senior Director, Land and Resources for Cook Inlet Region, Inc.,and acknowledged to me that he executed within the instrument as the act of his principal for the purposes therein contained. IN WITNESS WHEREOF I have hereunto set my hand and official seal the day and year first above-written. iii— ialli Qat-- N OTARY rUBLiC (% ,,,:,j Notary Public in and for Alaska Tanisr;r Gie;;an «' ,.k My Commission Expires: June 1 My Commission Expires:June I.2018 STATE OF ALASKA ) ) ss. THIRD JUDICIAL DISTRICT ) On this 23 day of ri4AA2Gt( 2016, before me the undersigned, a Notary Public in and for the County and State, personally appeared David S. Wilkins known to me to be the person whose name is subscribed as Senior Vice President for Hilcorp Alaska, LLC and acknowledged to me that he executed within the instrument as the act of his principal for the purposes therein contained. IN WITNESS WHEREOF I have hereunto set my hand and official seal the day and year first above-written. STATE OF ALASKA ____4,C;aw..2. z• ... --.,.../ u NOTARY PUBLIC ;.‘" Notary Public in and� askr ,:�'ai My Commission Expires: i- _ -2_0/? David W. Duffy My Commission Expires Sep 1,2017 Memorandum of Oil and Gas Lease C-061684 Page 2 of 3 • III 111111111101111111 2 of 3 eRecorded Document 2016-002416-0 • I Exhibit A Seward Meridian,Alaska Township 3 S., Range 14 W. Section 22 and 23; Sections 25 to 28 inclusive; Sections 33 to 36 inclusive. Containing approximately 6,400 acres more or less (such tract referred to in this Lease as the "Leased Area"): Memorandum of Oil and Gas Lease C-061684 Pane 3 of 3 111111 lilt 11111IIIIlIII 3 of 3 eRecorded Document 2016-002416-0 • I l77 Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Monday, May 16, 2016 9:29 AM To: 'David Duffy' Subject: RE: Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease Thank you David. Hilcorp is listed as the Current Owner of Record on the Designation of Operator form filed for CIRI lease C-061684. Per 20 AAC 25.022*, could Hilcorp please file a Notice of Ownership form (Form 10-417)for this lease that documents transfer of ownership from CIRI to Hilcorp? Thank you, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and,so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.gov. * 20 AAC 25.022. Notice of ownership Within 15 days after a person becomes an owner of a property on which operations subject to this chapter are proposed to the commission or are being conducted,the person shall file a Notice of Ownership(Form 10-417). Source: http://www.legis.state.ak.us/basis/aac.asp#20.25.022 Original Message From: David Duffy [mailto:dduffy@hilcorp.com) Sent: Friday, May 13, 2016 9:11 AM To: Davies,Stephen F (DOA) Subject: RE: Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease Steve, Here's an electronic copy of our Designation of Operator form. I'll bring the two signed originals to your office within the hour. David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s) only. In the event you receive this message in error, please notify me and delete the message. 1 r �-�, ( it Davies, Stephen F (DOA) From: David Duffy <dduffy@hilcorp.com> Sent: Friday, May 13, 2016 9:11 AM To: Davies, Stephen F (DOA) Subject: RE: Star 1 (PTD#204-117) - Designation of Operator for CIRI Lease C.06/ ‘8/ Attachments: 20160513090356449.pdf Z;0/44. Steve, /4. ` / Z- Here's an electronic copy of our Designation of Operator form. I'll bring the two signed originals to your office withi'n the hour. 3 lC' David Duffy, Landman Hilcorp Alaska, LLC Direct: 907-777-8414 Cell: 907-301-2629 dduffy@hilcorp.com This email may contain confidential and/or privileged information and is intended for the recipient(s) only. In the event you receive this message in error, please notify me and delete the message. Original Message From: Davies,Stephen F (DOA) [mailto:steve.davies@alaska.gov] Sent:Thursday, May 12, 2016 5:22 PM To: David Duffy Subject: RE:Star 1 (PTD#204-117)-Designation of Operator for CIRI Lease Thank you! Original Message From: David Duffy[mailto:dduffy@hilcorp.com] Sent:Thursday, May 12, 2016 5:18 PM To: Davies,Stephen F (DOA); Kevin Tabler Subject: RE:Star 1 (PTD#204-117)-Designation of Operator for CIRI Lease Steve, Thanks for the emails. I'll get started on the form tomorrow. The new CIRI lease covers 10 sections, and includes both the Star and Greystone wells. David Sent from my Windows Phone From: Davies,Stephen F (DOA)<mailto:steve.davies@alaska.gov> Sent: 5/12/2016 4:49 PM To: David Duffy<mailto:dduffy@hilcorp.com> Subject:Star 1 (PTD#204-117)- Designation of Operator for CIRI Lease David, 1 • As a continuation of my email regarding the Designation of Operator form for Greystone 1, did Hilcorp reach an agreement with CIRI to operate Section 23,T3S, R14W,SM, which contains the bottom-hole location of the Star 1 exploratory well? If so, could Hilcorp please provide a Designation of Operator form for the lease that encompasses that section? Regards, Steve Davies AOGCC CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information.The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it,without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Steve Davies at 907-793-1224 or steve.davies@alaska.Rov<mailto:steve.davies@alaska.gov>. 2 • S STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION DESIGNATION OF OPERATOR 20 AAC 25.020 1. Name and Address of Current Owner of Record: Hilcorp Alaska,LLC 3800 Centerpoint Drive,Suite 1400 Anchorage,Alaska 99503 2. Notice is hereby given of a designation of operatorship for the oil and gas property described below: Legal description of property: CIRI Lease C-061684 Township 03S,Range 14W,S.M.AK Sections 22,23,25,26,27,28,33,34,35 and 36 Property Plat Attached: Q 3. Name and Address of Designated Operator: Hilcorp Alaska,LLC 3800 Centerpoint Drive,Suite 1400 Anchorage,Alaska 99503 4. Effective Date of Designation: 3/1/2016 (effective date of lease) 5. Acceptance of operatorship for the above described property with all attendant responsibilities and obligations is hereby acknowledged (attach Power of Attorney or other evidence of authority of person signing): Signature kE,- Date 4.11-3 12v id Printed Name n A.Barnes Title Vice President 6. The Owner hereby certifies that the foregoing is true and correct(attach Power of Attorney or other evidence of authority of person signing): Signature /t1�.�® Date 5113/Z.{) fI Printed Name John A. Barnes Title Vice President 7. Approved: Commissioner Date Approved: Commissioner Date Approved: Commissioner Date (Requires approval by two Commissioners) Form 10-411 Rev.7/2009 Submit in duplicate • N �, x G, f " yt�"k Itt 1 k.C -i -r]IF #7' "*" 7 ' , - trs� ), ! y��,n.� � ' 3 'r'l < ,rriv*i x tisr s' y .ri,, �� ^r !, ',` ^ ;,-112,-.§. ..7- ,x , alr r 1,fiYF> � . 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ET,t4 za JI��CIRI Lease C-061684 (• , i e? 3 R `Cooklnlet Unit Boundaries HAK tlf ';1 x _ .. l' �( 1� 'X is ..`.. t.�c ..�.'r.,r l.. ,�. ����'1+1-1..4',4T'33--L J �'iL�a?l.-/''_`�f9� �:` .'{C''., _-. Ll;i.. .-d if i-�N i�+ - ' .�'a. C-061684 0 10,000 20,000 ft Effective March 1, 2016 Feet N Alaska State Plane Zone 4,NAD27 Flilcorp Alaska,LLC Map Date:5/10/2016 • • HILCORP ALASKA,LLC WRITTEN CONSENT OF THE SOLE MEMBER June 1,2015 The undersigned, being the sole member (the "Member") of Hilcorp Alaska, LLC, a Delaware limited liability company ("Hilcorp Alaska"), does hereby, pursuant to Section 18-302 of the Delaware Limited Liability Company Act, vote for, adopt, approve and consent to the following resolutions and the actions contemplated hereby with the same force and effect as if such resolutions were adopted by a vote at a formal meeting duly convened for such purposes pursuant to notice. WHEREAS, the Member desires to appoint or re-appoint (as the case may be) the following persons as executive officers of Hilcorp Alaska (the "Appointed Officers") to constitute all of the executive officers of Hilcorp Alaska effective as of 12:01 a.m., central, on June 1,2015,in lieu of all other persons who may have held such positions previously; NOW, THEREFORE, BE IT RESOLVED, that the following persons are appointed to the executive officer positions and title set forth opposite their respective names, each to serve until his or her death, resignation or removal in the manner authorized by the limited liability company agreement of Hilcorp Alaska in effect from time to time or until his or her successor or successors shall have been duly elected and qualified: Name Title Greg Lalicker President Jason C.Rebrook Executive Vice President Dave Wilkins Senior Vice President-Operations Shelbie DeZell Vice President and Chief Financial Officer John Barnes Vice President Ann M.Kaesermann Vice President and Treasurer Kurtis Gibson Vice President—Marketing William P. Swenson Secretary Marc Bond Assistant Secretary RESOLVED, that the Appointed Officers constitute all of the executive officers of Hilcorp Alaska effective as of 12:01 a.m., central, on June 1, 2015, in lieu of all other persons who may have held such positions previously; and further • RESOLVED, that each Appointed Officer shall have and may exercise such powers, authorities and duties on behalf of Hilcorp Alaska as are assigned to such office in the limited liability company agreement of Hilcorp Alaska as in effect from time to time or as may be delegated to such Appointed Officer by the Member; and further RESOLVED, that any and all actions taken by the Appointed Officers, in the name and on behalf of Hilcorp Alaska, and prior to the adoption of these resolutions, which are within the authority conferred by these resolutions, are hereby in all respects authorized, adopted, ratified, confirmed and approved. IN WITNESS WHEREOF,the undersigned has duly executed this Unanimous Written Consent,as of the date first above written, in the capacity indicated below. HILCORP ENERGY I. L.P,. the sole member of Hilcorp Alaska,LLC By: HILCORP ENERGY COMPANY, its general partner By: � Jeffe .Hildebrand. ChiefE,r'ecutive Officer ♦ • • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Suspended Well Inspection Report Date Inspected: 08/20/15 Inspector: Bob Noble Operator: Hilcorp Well Name: Star 1 - Oper. Rep: Dave Kerkuliet - PTD No.: 2041170 Oper.Phone: 907-283-1380 Location Verified? Yes Oper.Email: If Verified,How? Other(specify in comments) • Onshore/Offshore: Onshore Suspension Date: 06/10/05 Date AOGCC Notified: 08/17/15 Sundry No.: Well Completion Report Type of Inspection: Initial Wellbore Diagram Avail.? Yes Well Pressures(psi): Tubing 80 - Photos Taken? Yes ' IA 0 - OA 40 Condition of Wellhead. Wellhead in good condition with all lines blinded and with gauges.Location verfied with the well sign.No signs of leaks or drips.Clean water in cellar with no sign of sheen. Condition of Surrounding Surface Location: Location looked very nice.Good clean gravel on pad,Wellhead protected with the use of guard rail. Follow Up Actions Needed: none Comments: Attachments: Photos(4) - REVIEWED BY: Insp.Supry`f 1 Z-1=41,5-- Comm SCANNED SEP 1 5 2016 PLB 12/2014 2015-0820_Suspend_Star-1_bn.xlsx • • Suspended Well Inspection—Star-1 " PTD 2041170 Photos by AOGCC Inspector B. Noble 8/20/2015 w ` aR - ' STAR #1 Iv it • API # 50-231-20024 4,01,4444.1 term. . PTD # 204-117 a ; LEASE FEE -CIRI SURFACE LOCATION: NW1/4, SW1/4, SEC 24, T3S, R14W, SM, AK ' - -----"--- • N c t t t t y r V1AA t t�LL '"'<� X12V"Z4\A ,itwt��ttt*ttt,�� ii '�Lt\ �" , ��A1.?JJ>t NVAL LL"h 4v ti . da��tlt 1 1\Lit+ \\t 11t 4L L `_� `\„�, .. t,t,f,t►ti�lMtEk41,4�C111LL�t „ ,` `�l` � `� ,. var,ennnn tato!;: 11 \:\ �'CIIOMPP�NdSalrh\��52'�U�'\2�\‘ q < elk, dKS��• �. prrerrr►.c "SL1Si1�4tiS►�N��r���iiiitiittit” los i -11.0.Illik0:1161,,,, � -.,, 11la'( 'af1 , 'k ( ( �� ll��h;., <1t�tl‘t‘t N131 01% r '1��1t11� ���r y�1vt\ 4 \����\�\.\\� 0\1/4.\;,‘Ws, . , ,, 111 I II PP ii 11111111111 71111 %SSW AGA \'' \\\ ,, \\\\\\XIS Kik,7:7' it I�111Itl 11��%1� ������ t11\\\ ����!I‘X$S11.\\\\\\\\\\ \,,\\ Nr,,, ,, ��� II 0 1111111 X111 %����� \ \\\\\\\ Page 1 of 2 r.+ • .: ad xiirbA -4 1,1111111. x i 2015-0820_Suspend_Star-l_photos_bn.docx Page 2 of 2 e e Image Project Well History File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. ~ Q Y- - L L 7- Well History File Identifier Organizing (done) D Two-sided ""111111111111111 D Rescan Needed 111111111111111I111 RESCAN ~olor Items: D Greyscale Items: DIGITAL DATA OVERSIZED (Scannable) D Maps: o Other Items Scannable by a Large Scanner o Diskettes, No. D Other, No/Type: o Poor Quality Originals: o Other: OVERSIZED (Non-Scannable) ~9S of various kinds: NOTES: o Other:: Scanning Preparation ~ Date q I /1/ ð0 Date q 11/00 X 30 = ~ lfo Date 1/1//00 151 V\1f BY: ~ Project Proofing 11111111111I111111I W1f BY: ~ 151 BY: C Maria ì + ~O = TOTAL PAGES~ roD (Count does not include cover sheet) II\Af 151 r Y( Production Scanning Stage 1 Page Count from Scanned File: & ~ 1 (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: / YES Date: cr I /J / D(P 11111111I1111111111 NO Stage 1 If NO in stage 1, page(s) discrepancies were found: YES 151 Yl1 f NO BY: ~ BY: Maria Date: 151 111111111111111111I Scanning is complete at this point unless rescanning is required. ReScanned 11I11111/1111111111 BY: Maria Date: 151 Comments about this file: Quality Checked 1111111111111111111 10/6/2005 Well History File Cover Page.doc • • MICROFILMED 03/0112008 DO NOT PLACE ~,•,:, ,,~~ ~. ~,: -. ~~ ANY NEW MATERIAL UNDER THIS PAGE F:\LaserFiche\CbrPgs_Inserts\Microfilm Marker.doc DATA SUBMITTAL COMPLIANCE REPORT 9/6/2006 SY'-t.¿' (;\.~,,~ "-~~ '-{ API No. 50-231-20024-00-00 Permit to Drill 2041170 Well Name/No. STAR 1 Operator UNION OIL CO OF CALIFORNIA MD 9130 ../ TVD 8640 ", Completion Date 7/31/2004/' UIC N Completion Status 1-GAS Current Status P&A ~-~---~- ----- -_._--_.-."_..._-_._.._~- ~-,-~.-.__._-- REQUIRED INFORMATION Mud Log Yes __ Directional~U~ey~__~ Samples No ---,~ ~- -,"----- DATA INFORMATION Types Electric or Other Logs Run: 8.5 Quad, 6-1/8 PEX, CMR, FMI, DSI, MSCT Well Log Information: (data taken from Logs Portion of Master Well Data Maint Log/ Electr Data Digital Dataset Log Log Run Interval OHI Type Med/Frmt Number Name Scale Media No Start Stop CH Received Comments --~- 6.125 Borehole~iWD~---1 Log See Notes 2 Col 2 4510 8910 Open 8/31/2004 I Log Induction/Resistivity 25 BM 2 1515 9129 Open 8/31/2004 Multiple Propagation I Resistivity Neutron, I Density GR RWD TVD I Log Induction/Resistivity 25 BM 2 1515 9129 Open 8/31/2004 Multiple Propagation I Resistivity Neutron, Density GR RWD MD I ED C Las 12668 Induction/Resistivity 4470 9129 Open 8/31/2004 RWD/GR/MPR/CCN/ORD I DSN 12668 ED C Pds 12709 Completion 7050 8050 Case 8/31/2004 FAS DRILL PLUG I COMPLETION RECORD I Log Completion 5 BM 7050 8050 Case 8/31/2004 FAS DRILL PLUG I COMPLETION RECORD, DSN 12709 [ ED C Pds 12710 Induction/Resistivity 50 4511 Open 8/31/2004 ARRAY I INDUCTION/LlTHO- I DENSITY/COMPENSATED I NEUTRON/BHC SONIC- I MD Log Induction/Resistivity 25 BS 50 4511 Open 8/31/2004 ARRAY I INDUCTION/LlTHO- , DENSITY/COMPENSATED I NEUTRON/BHC SONIC- MD I I ED C Pds 12708 Completion 8274 8326 Case 8/31/2004 COMPLETION RECORD FAS DRILL BRIDGE PLUG 2.5" HSD POWERJETS . . DATA SUBMITTAL COMPLIANCE REPORT 9/6/2006 Permit to Drill 2041170 Well Name/No. STAR 1 Operator UNION OIL CO OF CALIFORNIA API No. 50-231-20024-00-00 MD 9130 TVD 8640 Completion Date 7/31/2004 Completion Status 1-GAS Current Status P&A UIC N Log Completion 5 BS 8274 8326 Case 8/31/2004 COMPLETION RECORD FAS DRILL BRIDGE PLUG 2.5" HSD POWERJETS ED C Pds 12707 Completion 8366 8396 Case 8/31/2004 COMPLETION RECORD, 2.5" HSD POWREJETS Log Completion 5 BM 8366 8396 Case 8/31/2004 COMPLETION RECORD, 2.5" HSD POWERJETS . ED C Pds 12706 Completion 7998 8234 Case 8/31/2004 COMPLETION RECORD, FAS DRILL BRIDGE PLUG, 2.5" HSD POWERJETS Log 12706 Completion 5 BM 7998 8234 Case 8/31/2004 COMPLETION RECORD, FAS DRILL BRIDGE PLUG, 2.5" HSD POWERJETS ED C Pds 12705 Cement Evaluation 5 3990 8962 Case 8/31/2004 SLIM CEMENT MAP TOOL Log Cement Evaluation 5 BS 3990 8962 Case 8/31/2004 SLIM CEMENT MAP TOOL ED C Pds 12704 Magnetic Resonance 0 9100 Open 8/31/2004 COMBINABLE MAGNETIC RESONANCE TOOL Log Magnetic Resonance 5 BM 4300 9100 Open 8/31/2004 COMBINABLE MAGNETIC RESONANCE TOOL ED C Pds 12704 Sonic 4514 9100 Open 8/31/2004 DIPOLE SHEAR SONIC TOOL Log Sonic 5 BS 4514 9100 Open 8/31/2004 DIPOLE SHEAR SONIC . TOOL ED C Pds 12704 Formation Micro Ima 4514 9100 Open 8/31/2004 FORMATION MICRO IMAGER, DIPMETER FIELD PRINT Log Formation Micro Ima 5 BS 4514 9100 Open 8/31/2004 FORMATION MICRO IMAGER, DIPMETER FIELD PRINT ED C Pds 12704 Sample 4602 8920 Open 8/31/2004 MECHANICAL SIDEWALL CORING TOOL GAMMA RAY Log Sample 5 BS 4602 8920 Open 8/31/2004 MECHANICAL SIDEWALL CORING TOOL GAMMA RAY DATA SUBMITTAL COMPLIANCE REPORT 9/6/2006 Permit to Drill 2041170 Well Name/No. STAR 1 Operator UNION OIL CO OF CALIFORNIA API No. 50-231-20024-00-00 MD 9130 TVD 8640 Completion Date 7/31/2004 Completion Status 1-GAS Current Status P&A UIC N ~- ._-- I ED C Las 12704 I ndu ction/Resistivity 4353 9100 Open 8/31/2004 ARRAY INDUCTION/LlTHO- DENSITY/COMPENSATED NEUTRON/DT I COMPRESSIONAL I *PLA TFORM EXPRESS* I I nd u ction/Resistivity 25 BM 4353 9100 Open 8/31/2004 ARRAY i Log INDUCTION/LlTHO- DENSITY/COMPENSATED . NEUTRON/DT COMPRESSIONAL *PLA TFORM EXPRESS* MD ED C Pds 12704 I nd uction/Resistivity 4514 9100 Open 8/31/2004 ARRAY INDUCTION/LlTHO- DENSITY/COMPENSATED NEUTRON/DT COMPRESSIONAL *TVD* Log I nd uction/Resistivity 2 BM 4514 9100 Open 8/31/2004 ARRAY INDUCTION/LlTHO- DENSITY/COMPENSATED I NEUTRON/DT COMPRESSIONAL *TVD* Log I nd uction/Resistivity 25 BS 50 4511 Open 8/31/2004 ARRAY INDUCTION/LITHO DENSITY/COMPENSATED NEUTRON/BHC SONIC *TVD* Log Mud Log 2 BM 37 9130 Open 8/31/2004 FORMATION LOG MD . ED C Pds 12881 Perforation 8668 8856 Case 12/7/2004 PERFORATION RECORD 2" 2006PJ 6SPF Log Perforation 5 BM 8668 8856 Case 12/7/2004 PERFORATION RECORD : 2" 2006PJ 6SPF ED C Pds 12882 Completion 8274 8552 Case 12/7/2004 COMPLETION RECORD Log Completion 5 BM 8274 8552 Case 12/7/2004 COMPLETION RECORD 2.5 HSD POWERJETS Rpt Sample 0 0 Open 12/1/2004 Omni Labs Rotary Core Analysis Report w/ Photographs Log Mud Log 2 Col 37 9130 Open 8/31/2004 Formation Log TVD Log See Notes 2 Col 37 9130 Open 8/31/2004 Drilling Dynamics Log MD ~~---~-- DATA SUBMITTAL COMPLIANCE REPORT 9/6/2006 Permit to Drill 2041170 Well Name/No. STAR 1 Operator UNION OIL CO OF CALIFORNIA API No. 50-231-20024-00-00 MD 9130 TVD 8640 Completion Date 7/31/2004 Completion Status 1-GAS Current Status P&A UIC N I Log~ _.~- See Notes 2 Col 37 9130 Open 8/31/2004 LWD Combo MD I Rpt Report: Final Well R 0 0 8/31/2004 Epoch Final Well Report ! w/CD I Log Perforation 5 BM 7975 8837 Case 9/23/2005 Perforation Record 2.5" I Powerjet HSD Guns ! ED C Pds 13292 Perforation 5 7975 8837 Case 9/23/2005 Perforation Record 2.5" I powerjet HSD Guns . I I Log Completion 5 BM 7850 8084 Case 9/23/2005 Completion Record I Halliburton Bridge Plug 25' [ Cemenr Plug I Log Completion 5 BM 7580 8027 Case 9/23/2005 Completion Record 2.5" HSD Power Jet, 6SPF, 60 Degreee Phased ED C Pds 13293 Completion 7580 8084 Case 9/23/2005 Completion Record Halliburton Bridge Plug, 25' cement plug (7850-8084) alsoCompletion record 2.5" HSD PowerJet 6SPF, 60 Degree Phased (7580- 8027) Log Completion 5 Myl 6950 7626 Case 9/23/2005 Completion Record 2.5" HSD PowerJet 6 spf. 60 Degree Phased Log Completion 5 BM 5250 6115 Case 9/23/2005 Completion Record 2.5" HSD PowerJet 6SPF, 60 Degree Phased . ED C Pds 13294 Completion 5 5250 6115 Case 9/23/2005 Completion Record 2.5" HSD PowerJet 6SPF, 60 Degree Phased Log Completion 5 8M 3900 5336 Case 9/23/2005 Completion Record 2.5" HSD PowerJet 6 SPF. 60 Degree Phased ED C Pds 13295 Completion 5 3900 5336 Case 9/23/2005 Completion Record 2.5" HSD Power Jet 6 SPF. 60 Degree Phased Log Completion 5 8M 5900 6230 Case 9/23/2005 Completion Record 2.5" HSD Powerjet 6 SPF, 60 Degree Phased ED C Pds 13296 Completion 5 5900 6230 Case 9/23/2005 Completion Record 2.5" HSD Powerjet 6 SPF, 60 Degree Phased DATA SUBMITTAL COMPLIANCE REPORT 9/6/2006 Permit to Drill 2041170 Well Name/No. STAR 1 Operator UNION OIL CO OF CALIFORNIA API No. 50-231-20024-00-00 MD 9130 TVD 8640 Completion Date 7/31/2004 Completion Status 1-GAS Current Status P&A UIC N ¡LOg --~-,-_..~- ---" -~ Completion 5 BM 5190 5391 Case 9/23/2005 Completion record HES MAPS BRIDGE PLUG 25' SWS Cement Plug/Guage Ring ED C Pds 13297 Completion 5 5190 5391 Case 9/23/2005 Completion record HES MAPS BRIDGE PLUG 25' SWS Cement Plug/Guage Ring . Log Completion 5 BM 3940 4710 Case 9/23/2005 Completion Record Magna- Range Bridge Plug Cement Dump Bailer ED C Pds 13298 Perforation 5 8668 8856 Case 9/23/2005 Perforation Record 2" 2006PJ 6 SPF Log See Notes 2 Col 37 9130 Open 8/31/2004 Drilling Dynamics Log TVD Log See Notes 2 Col 37 9130 Open 8/31/2004 LWD Combo TVD Log Induction/Resistivity 25 BS 50 4511 Open 8/31/2004 ARRAY INDUCTION/LITHO DENSITY/COMPENSATED NEUTRON/BHC SONIC "MD" Well Cores/Samples Information: 1-- Name Cuttings Interval Start Stop 90 9110 Sent Received Sample Set Number 8/31/2004 1132 ~ Cores and/or Samples are required to be submitted. This record automatically created from Permit to Drill Module on: 7/6/2004. I --.J . ADDITIONAL INFORMATION ~/N Daily History Received? ~N &N Well Cored? Chips Received? .....,-n:¡- Analysis {Y/ N Received? 5;~\ ffi....\\ ~ V\t, Formation Tops " ------- --~-_._-_. --~--- ~-,-,._-~-_._~--_._~--_.._.__._._-,-,_.~-------_._.. - -, --..-------.-....--.---------. ..~______m.·__.·__,__".~_.,_.._______ Comments: Permit to Drill 2041170 MD 9130 Compliance Reviewed By: DATA SUBMITTAL COMPLIANCE REPORT 9/6/2006 Well Name/No. STAR 1 TVD 8640 ~-~.~ Operator UNION OIL CO OF CALIFORNIA API No. 50-231-20024-00-00 ~ Date 7/31/2004 Completion Status 1-GAS Current Status P&A UIC N Date: _._Ct, Ý.e.I''f- ~_<O . . . Unocal Alaska 909 W. 9th Avenue Anchorage. AK 99501 Tele: (907) 263-7889 Fax: (907) 263-7828 E-mail: oudeand@unocal.com . UNOCAL Debra Oudean Technologist Date: September 22, 2005 To: AOGCC Helen Warman 333 W. ¡th Ave. Ste#100 Anchorage, AK 99501 ( f'i7lOlt.:'~U~l~I.am! - STAR-1 ~-&~ ; PERFORATION RECORD 2.5 POWERJET HSD GUNS ffi~~:~~~~~GRE~ÒRDHA~LIBuRT6NPLÚG25 1~~~:~~§W~;~~%R~2.5~~D~~~~RJ~~6S~F ,.I...C.... OMPLETION RECORD 2.5 HSD POWERJET 6 SPF 5 60 DEGREE PHASED ,,·,·,·.·.···______,___..'wm.··.·_·_·""~~N_______·.·.·.',_,',_,_,_,',w_,________'_W,'.mw·_,____'__."w.wu,'_·_·_·_·_·_·,~u__,___·__'@"w,·.·_·_·_·,_·",,@'____________'_'w",w,',',',w,___________,.,,,"", MPLETION RECORD 2.5 HSD POWERJET 6 SPF DEGREE PHASED ; COMPlCTION RECORD 2.5 ~so POWERJET 6 srF ·60 DEGREE PHASED ,_.'~w,·,·.·.__ru~@~-'__,___,· ·'m~______' "--,,-,,, '·_r",,~~,·.·,·. ,·~~u___·_,·_,.,,·,w·····,___·. ! COMPLETION RECORD 2.5 HSD POWERJET 6 SPF i60P§C1~EE~~ASEp . COMPLETION RECORD 2.5 HSD POWERJET 6 SPF 60 DEGREE PHASED -"~' ",,~,w_·.'·"«@W ""w··w.·___.~,w<·u COMPLETION RECORD MAGNA-RANGE BRIDGE ; PLUG CEMENT DUMP BAILER COMPLETION RECORD HES MAPS BRIDGE PLUG 2 SWS CEMENT PLUG/ GAUGE RING .....J,... ........ l::;INCII l ...~ tNC~ :5 INCH ¡ 6/6/2005 3900-5336 ~1J~1Lpd~ .JJ¿9¡{ ¡ V1 -'t pds t~~~j} ......... .........1.....................................................¡ jj~¡~~. .. . 111m! ~l~I~JP~:mt 3. ,/N ........I...~......11.m ..~L~.· pds .11Im1~11Pd:l:> h q ~ ++~~9 Ill, ds I) ¡q 6/1/2005 5900-6230 Received By: Date: J-'5 µ--~r ;)0'1 ~ If 7 F:! L . . UNOCAL€Ð '-Alaska J. Gary Eller Advising Completion Engineer Unocal Alaska Tel 907-263-7848 Cell 907-351-1313 Fax 907-263-7847 E-mail: ellerg@unocal.com July 21, 2005 RECEIVED JUL 2 1 2005 Af'$b DiI g. G ~ ....$ Cons Comm.. . . -. '. 1$$'00 AnChorage . . Mr. Winton Aubert Alaska Oil & Gas Conservation Commission 333 W. ih Ave., Ste. 100 Anchorage, AK 99501 Re: Designation of Star #1 Well as Suspended Dear Mr. Aubert: Enclosed is a completed 10-407 form regarding recent recompletion efforts in the Star #1 exploration well in the Deep Creek Unit on the Kenai Peninsula. Following well testing operations, the well was plugged as per sundry approval 305-125 dated May 12, 2005. Unocal now requests that the Star #1 well be placed in suspended status as per 20 AAC 25.110. The wellbore has value to Unocal as a possible future sidetrack candidate, Class II UIC disposal well, or for running a check shot survey in conjunction with seismic acquisition. As per 20 AAC 25.11 O( e), Unocal shall maintain the integrity of the Star pad and shall report the status of the suspended Star #1 wellbore to the Commission every 5 years. Please contact me if I can be of further assistance. Union Oil Company of California I Unocal Alaska 909 West 9th Avenue. Anchorage, Alaska 99501 http://www.unocal.com ;' . STATE OF ALASKA ALASKA AND GAS CONSERVATION COMMISS. \ lr:. n WELL COMPLETION OR RECOMPLETION RE~Ifi.~Wi~ OilD GasD Plugged 0 AbandonedD Suspended0 WAGD 1b. Well ClaftSiL '2 1 Zu05 20AAC 25.105 20AAC 25.110 Developmel'ttTI Exploratory J No. of Completions Other Service Di\ St. Gaf~' .' 1 5. Date comp'~jor I/'G 1~wM8o Dri~~~e Aband.: ~/t?ç 204-117 6. Date Spudded: 13. API Number: July 12, 2004 50-231-20024 7. Date TD Reached: 14. Well Name and Number: July 24, 2004 Star-01 8. KB Elevation (ft): 15. Field/Pool(s): 480' 9. Plug Back Depth(MD+TVD): 4,674/4,417' 10. Total Depth (MD + TVD): 9,130'/8,640' 11. Depth Where SSSV Set: n/a 19. Water Depth, if Offshore: 20. Thickness of Permafrost: n/a feet MSL n/a 1a. Well Status: GINJD WINJD WDSPL D 2. Operator Name: Union Oil Company of California 3. Address: PO Box 196247, Anchorage, AK 99519 4a. Location of Well (Govemmental Section): Surface: 1358' FSL, 430 FWL, Sec. 24, T3S, R14W Top of Productive Horizon: Total Depth: 1,189' FSL, 1,795' FEL, Sec. 23, T3S, R14W 4b. Location of Well (State Base Plane Coordinates): Surface: X = 202,728, Y = 2,158,848 TPI: Total Depth: X = 200,523, Y = 2,158,663 18. Directional Survey: Yes D No o 21. Logs Run: n/a 22. CASING WT. PER GRADE FT. 16" 82.77# K-55 9-5/8" 47# L-80 7" 26# L-80 3.5" 9.2# L-80 CASING, LINER AND CEMENTING RECORD SETTING DEPTH MD SETTING DEPTH TVD TOP BOTTOM TOP BOTTOM HOLE SIZE o 0 75' 74' o 0 1,508' 1,507' . o 0 4,522' 4,283' o 0 9,108' 8,619' 23. Perforations open to Production (MD + TVD of Top and Bottom Interval, Size and Number; if none, state "none"): No open perfs. See..attached schematic for isolated perfs. 24. n/a 12-1/4" 8-1/2" 6-1/8" SIZE Wildcat/Beluga, Tyonek 16. Property Designation: Star Pad 17. Land Use Permit: CEMENTING RECORD AMOUNT PULLED Driven 88 bbl of 12.8 ppg lead, 29 bbl of 15.8 ppg tail "G" 45bbl 12.8ppg liteCrete lead/18bbI15.8ppg "G" tail. 157 bbl of 12.0 ppg Litecrete TUBING RECORD DEPTH SET (MD) PACKER SET (MD) Baker ZX pkr@ 3,991' 25. FRACTURE, CEMENT SQUEEZE, ETC. DEPTH INTERVAL (MD) AMOUNT AND KIND OF MATERIAL USED n/a 26. PRODUCTION TEST Date First Production: Method of Operation (Flowing, gas lift, etc.): ~ ~~~ Date of Test: Hours Tested: Production for Oil-Bbl: 6/6/2005 24 hours Test Period..... 0 Flow Tubing Casing Press: Calculated Oil-Bbl: Press. 100 0 24-Hour Rate .... 0 27. CORE DATA Brief description of lithology, porosity, fractures, apparent dips and presence of oil, gas or water (attach separate sheet, if necessary). Submit core chips; if none, state "none". Gas-MCF: o Gas-MCF: o --,-"'"'.,"._....."'"'''_.~..',~,...'',---~, none i{Øi.~;¡ ?(tal" i ,g;~m ~ i ,1 ¡; .' .., .' .. __-,i~ '1- .' .' ,-.-.-" ---.'.'-.- Form 10-407 Revised 12/2003 CONTINUED ON REVERSE Water-Bbl: o Water-Bbl: o ¡~L Choke Size: I Gas-Oil Ratio: n/a n/a Oil Gravity - API (corr): n/a RBDMS BFL .JUl 2 8 2005 C' I:;': «) AFE 164056 28. GEOLOGIC MARKERS. MD 2,370 2,743 3,530 4,169 4,582 4,713 4,882 5,154 4,555 6,420 7,805 8,155 7,805 8,155 NAME BLG-31 BLG-40 BLG-50 BLG-80 BLG-90 BLG-100 BLG-120 BLG-130 Tyonek T40 T65 T 81 T65 T 81 TVD 2,366 2,723 3,417 3,974 4,335 4,451 4,598 4,841 4312 6032 7353 7689 7353 7689 29. FORMATION TESTS Include and briefly sum~ test results. List intervals tested, and attach detailed supporting data_ecessary. If no tests were conducted, state "None". none 30. List of Attachments: Schematic, daily operations summary. 31. I hereby certify that the foregoing is true and correct to the best of my knowledge. Printed Name: Timothy C. Brandenburq J.... K ~ Signature: ¿ ;?"~c./ -.:>7 ~ ..5. ýC.....; /t/ ,/ /'. r Follow up to Sundry 305-125 Contact: J. Gary Eller 263-7848 Title: Drilling Manager INSTRUCTIONS Phone: 907-276-7600 ......... . ~ Date: 7--1.l....C:;:;S- General: This form is designed for submitting a complete and correct well completion report and log on all types of lands and leases in Alaska. Submit a well schematic diagram with each 10-407 well completion report and 10·404 well sundry report when the downhole well design is changed. Item 1a: Classification of Service wells: Gas Injection, Water Injection, Water-Altemating-Gas Injection, Salt Water Disposal, Water Supply for Injection, Observation, or Other. Multiple completion is defined as a well producing from more than one pool with production from each pool completely segregated. Each segregated pool is a completion. Item 4b: TPI (Top of Producing Interval). Item 8: The Kelly Bushing elevation in feet above mean low low water. Use same as reference for depth measurements given in other spaces on this form and in any attachments. Item 20: True vertical thickness. Item 13: The API number reported to AOGCC must be 14 digits (ex: 50-029-20123-00-00). Item 22: Attached supplemental records for this well should show the details of any multiple stage cementing and the location of the cementing tool. Item 23: If this well is completed for separate production from more than one interval (multiple completion), so state in item 1, and in item 23 show the producing intervals for only the interval reported in item 26. (Submit a separate form for each additional interval to be separately produced, showing the data pertinent to such interval). Item 26: Method of Operation: Flowing, Gas Lift, Rod Pump, Hydraulic Pump, Submersible, Water Injection, Gas Injection, Shut-in, or Other (explain). Item 27: If no cores taken, indicate "none". Item 29: List all test information. If none, state "None". Form 10-407 Revised 12/2003 . API: 50-231-20024 AOGCC: 204-117 1358' FSL & 430' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3W' IBT Tree cxn - 2W' Bowen cxn Completion -Annulus loaded with 9.5 ppg OBM - Baker "H" chemical injection nipple at 2515' with 1/4",0.049" wall SS chemical injection line - Inline Baker ZX packer at 3991' Pluqs: Halliburton MagnaRange CIBP at 4700', capped with cement to ±4674' (6/9/05) Halliburton MAPS CIBP at 5390', capped with cement to 5359' (6/4/05) Halliburton MagnaRange CIBP at 8082', capped with cement to 8049' (5/26/05) Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Star-1 Actual Schematic 6-14-05 ~ ... z ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~~ PBTD = 9040' TD = 9130' . Well Name: Star #1 Field: Wildcat State: Alaska I ,conductor: 16",82.77 ppf, K-55 to 75' ~ Surface Casinq: 9%", 47 ppf, L-80, BTC to 1508' Cmnt with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg tail "G" z ... Intermediate Casinq: 7", 26 ppf, L-80, BTC-Mod to 4522' Cmnt with 45 bbl of 12.8 ppg lead lead and 18 bbl of 15.8 ppg "G" tail. Open Perfs: none Isolated Perfs: B100: 4732' - 4746' (6 spf, 6/6/05) UT3: 5412' - 5436' (6 spf, 6/2/05) T10: 6098' - 6114' (6 spf, 6/1/05) T38: 7431' - 7455' (6 spf, 5/28/05) T40: 7625' - 7641' (6 spf, 5/27/05) T-63: 8090' - 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5", 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17/04) T-83: 8777' - 8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17/04) IFiSh at 8897': 38.7' x 2.5" OD SLB gun assembly, 9/11/04 Production Casinq: 3W', 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg Litecrete Updated by: JGE . . AS-BUILT STAR NO. 1 WELL SURFACE LOCATION GRID N: 2158848.370 GRID E: 202728.424 LATITUDE: 59·53'58.416"N LONGITUDE: 151·37'08.798"W ELEV. 470' NOTES 1) BASIS OF COORDINATES: NGS CORS STATION "KEN 1" NAD27 ALASKA STATE PLANE ZONE 4. 2) BASIS OF ELEVATION: NGS BM W86 NAVD88. 3) SECTION LINE OFFSETS DERIVED FROM TIES TO BlM MONUMENTS NW CORNER SECTION 24 AND SE CORNER SECTION 24 T3S R14W SM FOUND THIS SURVEY 4) COMPUTED SW CORNER SEC 24 POSITION FROM SE COR SEe 24 FOUND USING EAST 5280.00' , r:t Grid -1 (f) lL.. IX) It) I"') SECTION 24 TOWNSHIP 3 SOUTH RANGE 14 WEST SEWARD MERIDIAN ALASKA """'\" ...'~ OF Ai " :... ~~·····"·····1& " = ~:., ~ "'1: " .... * ....49 II:l AT '7* ~ ",................................... " ", ~ ~ ", ,...................................", ~ ~ú'....~. SCOTT McLAN~:f : I, ~......4928-S......·#: 'I () Ac:....~......... \:ti> ...- t. I ·'4"!'SSIONÞ.\' ,'" I""",' SEC 23 SEC 24 SEC 26 SEC 25 " SCALE 1 inch = 300 ft. o 300 ~ 450 I 600 I P.O. 8cx 468 SCLCCTNA, AK 99669 ~ Consulting c;roup ~ Testing TEL 9[]7.2B3.4218 FAX 9[]7.283.3265 053051 APPLICANT: UNDCAL 909 .... 9th Avenue . Anchorage. AI{ 99519-7685 STAR NO.1 WELL AS-BUILT SURFACE LOCATION STARISKI, AK Revisions: Dwg: 053051 Date: 7/6/05 FIGURE: 1 Well Name Star-01 Primary Job Type Testing Jobs I Primary Well bore Affected Original Hole AFE No, I Gary Eller QC Eng 164056 Daily Operations 5/16/200500:00 - 5/17/2005 00:00 Operations Summary _Run slickline survey across Lower Tyonek perfs. 5/22/200500:00 - 5/23/2005 00:00 Operations Summary Loading out well test equipment and camp for Star pad. 5/23/200500:00 - 5/24/2005 00:00 Operations Summary Set up camp and well test equipment. 5/24/200500:00 - 5/25/200500:00 ·Operations Summary ,Finish RU well test equipment. Pressure upon 7" casing to 1500 psi. 5/25/200500:00 - 5/26/200500:00 Operations Summary ~ullhead nitrogen to displace fluid in wellbore. Pump 1,000 gallons of N2, final tubing pressure = 4400 psi. I 5/26/200500:00 - 5/27/2005 00:00 Operations Summary RIH, set cast iron bridge plug on electric line at 8082'. Tag CIBP to confirm set. Dump bail 25' cement on CIBP. 5/27/200500:00 - 5/28/2005 00:00 Operations Summary Bled nitrogen pressure to 1380 psi. RIH with 2.5" guns, tag top of cement at 8049'. Perf T40 Sand 7625'-7641' SCMT. POOH, RD e-line. Blow down well to 500 psi. 5/28/200500:00 - 5/29/2005 00:00 Operations Summary No influx from T40 perfs. Perf T38 Sand 7431'-7455'. No change in tubing pressure. RU slickline, run 2.75" gauge ring. Having difficulty working past e-line grease in the tubing. 5/29/200500:00 - 5/30/2005 00:00 Operations Summary Continue having trouble running 2.75" gauge ring due to e-line grease. Pump 40 gallons diesel down tubing, eliminated problem. Tag bottom at 8062'. Run static pressure survey. Standby. 5/30/200500:00 - 5/31/2005 00:00 Operations Summary _Standby, no activity. 5/31/200500:00 - 6/1/2005 00:00 ·Operations Summary Standby, no activity. 6/1/200500:00 - 6/2/2005 00:00 Operations Summary Perf T10 Sand 6098' - 6114' SCMT. No change in pressure. Blow well down to100 psi FTP. Cannot sustain flare. 6/2/200500:00 - 6/3/2005 00:00 Operations Summary Perf UT3 Sand 5412' - 5436'. No change inpressure. RIH with 2.72" gauge ring on slickline, tag up at 6114'. Pumped 1 bbl diesel down tubing, worked gauge ring down to 8028' with difficulty. Run pressure bombs, unable to get them past 6134'. Log up with pressure bombs from 6134'. 6/3/200500:00 - 6/4/2005 00:00 Operations Summary Attempt to run cast iron bridge plug on e-line, but unable to work past 5086'. POOH. Pumped 3 bbl diesel downhole, run 2.75" gauge ring on e-line. Worked to 5120'. RD e-line, RU slickline. Began bailing muddy solids at 4909'. Losing ground while bailing. Final tag = 4736'. RD slickline. 6/4/200500:00 - 6/5/2005 00:00 Operations Summary MI100 bbl of produced water from Happy Valley field. RU pump truck. Bullhead 52 bbl of produced water down the tubing. RIH with a 2.25" slickline bailer, tag at 5913'. RIH with 2.80" gauge ring, tag at 5720'. RD slickline, RU e-line. Set cast iron bridge plug at 5390'. Tag plug to confirm set. Dump bail 25' of cement on top of CIBP. 6/5/200500:00 - 6/6/2005 00:00 Operations Summary RIH with 2.84" gauge ring, tag cement at 5374' WLM. Swab water from tubing down to a depth of 3640' for perforating underbalance. . . Daily Operations 6/6/200500:00 - 6/7/2005 00:00 -Operations Summary RIH with 2.5" guns on e-line. Tag top of cement at 5359'. Perf B100 Sand 4732'-4746' SCMT. No change in tubing pressure. RU slickline, run pressure survey across B100 perfs. 6/7/200500:00 - 6/8/2005 00:00 . Operations Summary Bled well down to zero. Insufficient flow to sustain flare. Shut-in, RD well test equipment. 6/8/200500:00 - 6/9/2005 00:00 Operations Summary IFiniSh demob well test equipment and camp while monitoring pressure build on tubing. 6/9/200500:00 - 6/10/2005 00:00 Operations Summary RU e-line. RIH with cast iron bridge plug, set at 4700'. Tag polug to confirm set. Set and tag of CIBP witnessed by AOGCC rep. Dump bail 25' of cement on top of CIBP. 6/10/200500:00 - 6/17/2005 00:00 'Operations Summary Demob remaining material from Star pad. Secure well. I I . Q. RHo GL 16.4' 7.78' \..f A 4.54' 4.95' .... "'" Center of 16" to cente of MH " 6.00' "'" ,...,. ^ 3.28' CIWSUp lock and welded wi 2.15' Final cut @ 5.36' (64-5116") below GL .lot. 2.54' /" /n 11.00'f11.'JO'cl.llvert installed ì ~ 4.70' ~ I( 16" 5.36' 'fI::1' 13<00- dim x 1" thick base plate 7' 10" ~ , ~ 11.00' mouse "'" .. .. e - State of Alaska Alaska Oil and Gas Conservation Commission MEMORANDUM TO: Jim Regg P.I. Supervisor 'Kf'?l b/I.fla; DATE: June 9, 2005 THRU: SUBJECT: Plug & Abandonement Star #1 Unocal, Star pad Wildcat ~~. Zú4-1\7 FROM: Lou Grimaldi Petroleum Inspector NON- CONFIDENTIAL Section: Lease No.: Operator Rep.: Township: Drilling Rig: Range: Rig Elevation: Meridian: Total Depth: Casin!JlTubin!J Data: Conductor: 16" 0.0. Shoe@ 75' Surface: 95/8" O.D. Shoe@ 1508' Intermediate: 7" O.D. Shoe@ 4522' Production: 31/2" O.D. Shoe@ 9130' Liner: 0.0. Shoe@ Tubing: 0.0. Tail@ Casin!J Removal: Casing Cut@ Feet Casing Cut@ Feet ~~~C~@ ~~ Casing Cut@ Feet Casing Cut@ Feet Casing Cut@ Feet Bridge Plug Bottom of Cement 4700 PluQ!Jin!J Data: Top of Cement Depth Verified? 4672 No Mud Weight above plug Water/Gas Pressure Test Applied No Type Plu!J {bottom up} Perforation Founded on Type Plu!J Open Hole Perforation 'Annulus Casing Stub Surface I witnessed setting of the Cast Iron Bridge plug (HES Magnarange) at 4700', plug was spotted by correlation. 10+ gal's of SOS dump cement placed on top of CIBP by dump bailer. Top of cement to be verified at a later date. Founded on: Bottom Bridge plug Balanced Retainer Verified? Drillpipe tag Wireline tag C.T. Tag No £S Attachments: Distribution: orig - Well File c - Operator c - DNR/DOG c - Database c - Rpt File c - Inspector Rev.:5/28/00 by L.R.G. P and A Star 1 06-09-05 LG.xls 6/13/2005 Star # 1 Plugging Procedure Lou - Attached is a current well bore schematic for the Star #1 and the procedure for setting a CIBP and cement. We'll tag the CIBP prior to dumping cement, but we'll not tag the top of cement until we have cause to do other wireline work on the well. It is our intent that this plug satisfy the plugging requirements of 20 AAC 25.112(c)(1 )(E). Please call if you have any questions. «Star-1 Beluga Plug Back. doc» «Star-1 Actual Schematic 6-6-05.xls» J. Gary Eller Unocal Alaska Advising Completion Engineer Office: 907-263-7848 Cell: 907-351-1313 Content-Description: Star-l Beluga PlugBack.doc Content-Type: applicationlmsword Content-Encoding: base64 Star-l Beluga Star-l Actual Schematic Content-Description: Star-l Actual Schematic 6-6-05.xls Content-Type: applicationlvnd.ms-excel Content-Encoding: base64 1 of 1 6/9/2005 9:23 AM . . Star #1, Wildcat Plug Back Beluga Sand Perfs AFE 164056 Well History: Testing in the Lower Tyonek sands in the Star #1 was conducted in August and September 2004 and March 2005. The Lower Tyonek bench was plugged back on May 26,2005, and the T40, T38, TlO, and UT3 Sands were subsequently perfed and tested. The Upper Tyonek perfs were plugged back on June 6, 2005, and the Beluga BI00 Sand was perfed and tested. All testing in the Star #1 wellbore is now complete. Objective: Plug back all existing Beluga perforations sufficient to satisfy State requirements for well plugging. Procedure: 1. At least 24 hours prior to operations, notify AOGCC of intent to plug back the BlOO perforations (4732' - 4746' SCMT). MIRU electric line. Pressure test lubricator and conduct pre-job safety meeting. PU and RIH with Halliburton Magna-Range CIBP for 3W' casing. Tie-in with SCMT log of 7/30/04. Set CIBP at 4700'. POOH. 2. MU 30' of2W' dump bailer. Load dump bailer with cement. RIH, tie in with SCMT log, tag CIBP at 4700'. Dump a minimum of25' of cement on top of the CIBP. iliote: Will need to dump a minimum of 9 gallons of cement for 25' in 3)12" casing.) POOH, RDMO electric line. 3. Bleed offtrapped pressure on the tubing and 7" casing. Secure well. Demob all equipment from the Star #1 pad. Star-l Beluga PlugBack-1.doc June 7, 2005 . API: 50-231-20024 AOGCC: 204-117 1320' FSL & 489' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3%" IBT Tree cxn - 2%" Bowen cxn Completion - Baker "H" chemical injection nipple at 2515' with 1/4", 0.049" wall SS chemical injection line -Inline Baker ZX packer at 3991' - Annulus loaded with 9.5 ppg OBM PluQs: Halliburton MAPS CIBP at 5390', capped with cement to 5359' (6/4/05) Halliburton MagnaRange CIBP at 8082', capped with cement to 8049' (5/26/05) Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Star-1 Actual Schematic 6-6-05.xls .4 z ~ ~ ~ Z ~ ~ Z J.~ PBTD = 9040' TO = 9130' . Well Name: Star #1 Field: Wildcat State: Alaska I ¡COnductor: 16",82.77 ppf, K-55 to 75' ~ Surface Casino: 9%", 47 ppf, L-80, BTC to 1508' Cmnt with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg tail "G" z ~ Intermediate Casino: 7", 26 ppf, L-80, BTC-Mod to 4522' Cmnt with 45 bbl of 12.8 ppg lead lead and 18 bbl of 15.8 ppg "G" tail. Open Perfs: B100: 4732' - 4746' (6 spf, 6/6/05) Isolated Perfs: UT3: 5412' - 5436' (6 spf, 6/2/05) T10: 6098' - 6114' (6 spf, 6/1/05) T38: 7431' -7455' (6 spf, 5/28/05) T40: 7625' - 7641' (6 spf, 5/27/05) T-63: 8090' - 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5",7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17/04) T-83: 8777' - 8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17/04) FiSh at 8897': 38.7' x 2.5" OD SLB gun assembly, 9/11/04 Production Casino: 3%", 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg Litecrete Updated by: JGE {ru, q "1, r' P,A '\ i:1f r,:::!,! . '" I; '1\ \ ! I ''- ; \). ,¡ /U, U~ ¡ I r ® U J"l,j I lb '~n' r. hi 11'1 ¡ b § ~ L ' " t.UJ ¡' UÎ'i'"'\ ~'.....i! tt, ¡~ Ii f 1 i ~ ¡I ~ ¡~. ru 1117 17\ ,\ ",1, ¡11\,'~ '."\ ~I' ~\ J¡J, 11' ¡ U'\\.I'·.......\ ~ uU U . I / FRANK H. MURKOWSKI, GOVERNOR j cÝo I- /1'7 Alf~fiIiA OIL AlQ) GAS CONSERVATION COMMISSION ,; " J I ! , .l!{ l 333 W. 7'" AVENUE. SUITE 100 ANCHORAGE. ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Tim Brandenburg Drilling Manager Union Oil Company of California P.O. Box 196247 Anchorage, Alaska 99519 Re: Star #1 Sundry Number: 305-125 Dear Mr. Brandenburg: Enclosed is the approved Application for Sundry Approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed fonn. Please provide at least twenty-four (24) hours notice for a representative of the Commission to witness any required test. Contact the Commission's petroleum field inspector at (907) 659-3607 (pager). As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the Commission grants for good cause shown, a person affected by it may file with the Commission an application for rehearing. A request for rehearing is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. A person may not appeal a Commission decision to Superior Court unless rehearing has been requested. Sincerely, f6~ Ccnm:icssioflel'" DATED this.,&day of May, 2005 Encl. . . UNOCAL~ '-Alaska .J. Gary Eller Advising Completion Engineer Unocal Alaska Tel 907-263-7848 Cell 907-351-1313 Fax 907-263-7847 E-mail: ellerg@unocal.com May 12, 2005 RECEIVED MAY 1 2 2005 Mr. Winton Aubert Alaska Oil & Gas Conservation Commission (AOGCC) 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 Ala$ka Oil &. Gas Comt CQ¡r¡mÎssicn Anchorage Re: 10-403 to Plug Back & Recomplete the Star #1 Exploration Well, Deep Creek Unit Dear Mr. Aubert: Enclosed you will find a 10-403 application for plugging back the existing lower Tyonek /" perforations and recompleting uphole in Unocal's Star #1 exploration well in the Deep Creek Unit. Also enclosed are a detailed operational procedure, current wellbore schematic, and a list of proposed Tyonek and Beluga perforations. This work is scheduled to begin May 23, 2005. It is Unocal's intent to satisfy the requirements of 20 AAC 25.112(c) by setting a cast iron bridge _ plug less than 50' above the existing Tyonek perforations (8090' - 8856' gross) and dump bailing at least 25' of cement on top. Following this, Unocal intends to perforate and test various / Tyonek and Beluga Sand intervals, as shown on the attached list. During the course of this testing, Unocal may elect to set other cast iron and/or composite / bridge plugs to isolate sets of perforations. Unocal requests that it not be required to remove these various plugs at the conclusion of testing in order to satisfy requirements of 20 AAC 25.112(c). Instead, Unocal proposes the following to satisfy 20 AAC 25.112(c): . Set a bridge plug (cast iron or composite) within 50' of the uppermost Tyonek perforation, and isolate this with 25' of dump-bailed cement. . Set a bridge plug (cast iron or composite) within 50' of the uppermost Beluga perforation, and isolate this with 25' of dump-bailed cement Unocal will verify the integrity and setting depth of the mechanical bridge plugs and cement plugs by tagging them with slickline or electric line. It will not be possible to pressure test the plugs if there are open perforations above the plug. Please contact me if I can be of further assistance. / Union Oil Company of California I Unocal Alaska 909 West 9th Avenue. Anchorage. Alaska 99501 htlp:/Iwww.unocal.com o,ø;} ç....f!;1{ Y-LC,;.A- S /1(,/1.005 ALAI.. OIL AND ~~;~g~S~'::A~ON CO~ONS p..š ~{CE IVE 0 APPLICATION FOR SUNDRY APPROVAL MAY I 'J. 2005' 20 AAC 25.280 ' ., . ;.¡ AbandonU Suspend U Operational shutdown U Perforate~ l'da5:'C:'limr~, GI'.ii1 C~~~~II'iÍ") AltercasingD Repair well D Plug Perforations 0 ,Stimulate D Time Extension h . .r.", ~" Change approved programD Pull TubingD Perforate New Pool 0 / Re-enter Suspended Well {fJC.<iJr3ge 2. Operator Name: 4. Current Well Class: / 5. Permit to Drill Number: Union Oil Company of California Development D Exploratory 0 204-117 / Stratigraphic D Service D 6. API Number: 50-231-20024 / 1. Type of Request: 3. Address: PO Box 196247, Anchorage, AK 99519 7. KB Elevation (ft): 480' MSL 8. Property Designation: Deep Creek Unit 11. Total Depth MD (ft): ITotal Depth TVD (ft): 9130 Casing Structu ral Conductor Surface Intermediate Production Liner Perforation Depth MD (ft): 8090'-8856' Packers and SSSV Type: 8640 9. Well Name and Number: Star #1 /' 10. Field/Pools(s): Wildcat PRESENT WELL CONDITION SUMMARY Effective Depth MD (ft): Effective Depth TVD (ft): IPlugs (measured): 9040 8552 n/a Size MD rvD Burst Collapse Junk (measured): 8897 Length 75 1508 4522 16" n/a 6870 psi 7240 psi n/a 4750 psi 5410 psi 75 75 1508 1508 4522 4283 3991 '-91 08' 3821'-8618' 10,160 psi 10,530 psi ITubing MD (ft): 3991 Baker ZXP packer at 3991' 9-5/8" 7" 5117 3-1/2" I Perforation Depth rvD (ft): 7626'-8371 Baker ZXP packer ITubing Size: ITubing Grade: 3-1/2" L-80 Packers and SSSV MD (ft): 12. Attachments: Description Summary of Proposal U Detailed Operations Program 0 BOP Sketch D 14. Estimated Date for Commencing Operations: 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Printed Name Timothy C. Brandenburg Title Drilling Manager Signature .--7~ __ "'" ___--~ é _ ~/ '- ~ ...::;¿/ i? ../' 16. Verbal Approval: Commission Representative: 13. Well Class after proposed work: Exploratory 0 Development D 15. Well Status after proposed work: 5/23/2005 Oil D Gas 0 /. Plugged D WAG D GINJ D WINJ 0 Abandoned WDSPL D D Service D Date: Contact Ga,,! Elle, (26H848~,\ S-í7-0S" Phone 907-276-7600 Date COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Plug Integrity ¡if Sundry Number: ;3 oS- -I as- BOP Test D Mechanical Integrity Test D Location Clearance D c>..\ {.-~ \t\.z,,{~ ~ it p l~, 11N!1 ¡? 1'1/(.£ ~ ~ ¡ ~ RBDMS 8Ft 'þ" ~ ~ 7nn~ ¥/Jro v~ J. . Other: íìe1l'" w itA c. 2-'5. i (2 l J Subsequent Form Required: tD - 4-07, APPmv:o:r:!!:z~1v-- COMMISSIONER APPROVED BY THE COMMISSION Date: 5' -- / (p - ()..:> Submit in Duplicate . Star #1 Proposed Perforations AFE 164056 Checked & Revised 11-May-05 by MTL . ZONE TOP PERFS BOTTOM PERFS H (ft MD) Big 90 I 4598 4615 17 Big 100 4730 4744 14 Big 120 4894 4928 34 Big 130 5272 5280 8 Beluga Bench Total rogz.1 / 73 ZONE UT-3 T-6 T-10 T-12 T-17 T-20 T-25 T-38 T-40 Tyonek Bench Total TOP PERFS BOTTOM PERFS 5410 ./ 5434 5714 5805 6096 6112 6343 6411 6652 6664 6832 6856 7082 7098 7430 7454 7624 7640 / I 1... 'l..'S D H (ft MD) 24 91 16 68 12 24 16 24 16 291 . . Star #1, Wildcat Test Upper Tyonek & Beluga Sands AFE 164056 Well History: The Star #1 well was drilled and completed in July/August 2004 in exploration of deep Tyonek gas. Initial testing in the Lower Tyonek sands began in August 2004, and follow-up testing operations were conducted in September 2004 and March 2005. Testing of the Lower Tyonek bench is now complete. / Objective: Plug back the existing Lower Tyonek perforati Tyonek and Beluga intervals. Procedure: 1. 2. ator an conduct pre-job safety meeting. T fill, POOH. PV tandem pressure' rvey down to the top of the T -63 perfs/ d results of static survey to Completion set of proposed perforations is the T -40 at stati ressure survey identifies the fluid level sufficiently th, continue with the procedure for plugging back the r Tyonek perfs. If the fluid level is above the T -40, MIRV ullhead the fluid back into the existing perforations before g with the procedure. 3. At least 24 hours prior to operations, notify AOGCC of intent to plug back the T-63 perforations. MIRV electric line. Pressure test lubricator and conduct pre- job safety meeting. PU and RIH witb Mßange CIBP for 3\>,' casing. Tie-in / with SCMT log of 7/30/04. Set CIBP a~'. Tag plug to verify set on depth. POOH, RDMO electric line.- 4. Provide the AOGCC with 24-hour advance notice of the intent to set a cement plug on top of the CIBP. MIRV slickline. Pressure test lubricator and conduct pre-job safety meeting. PV 2.75" gauge ring. RIH, tag CIBP at 8082'. POOH. Star-l Beluga Testing Prog 2005 May 10, 2005 . . Star #1 Upper Tyonek & Beluga Testing Procedure AFE 164056 Page 2 MU 2%" dump bailer. Blend cement for dump bailer, and then load bailer with cement. RIH, dump a minimum of 25' of cement on top of the CIBP. (Note: Will need to dump a minimum of 9 gallons of cement for 25' in 3W' casing.) POOH, RDMO slickline. 5. MIRV Vnocal test skid as per attached layout. Install and test nitrogen bottle supply to SSV. Place flare stack at a location on the pad that recognizes safety and environmental considerations such as proximity to ignition sources, vehicle access, etc. Install SPIDR continuous surface pressure re der on wellhead. Pressure test flowback iron and test skid to 4000 psi u f the choke skid (MA WP = 4600 psi), 3500 psi across the line heatet: P = 3800 psi), and 900 psi across the separator (MA WP = 1200 psi) il fluids to the Johnson tank. Note' T-4 detennine plugged bac document, Star- possible subsequen 6. 7. Attempt to flow w Completion E Inject meth temperatu local Fire Depa En . 50% drawdown). Contact nt to fl at this level of drawdown. zing. Take rate, pressure, and . ht flare as soon as practical and notify ell as instructed by Completion ure will depend on the flow achieved from the may conducted to measure fonnation penneability or to pro uctive. Following testing, the T-40 mayor may not be ing additional Tyonek intervals. See the separate sting Philosophy. doc, for a better understanding of the tions in the Star #1 wellbore. Star-l Beluga Testing Prog 2005 May 10, 2005 . . Star #1 Testing Philosophy Upper Tyonek & Beluga Intervals Author: J. Gary Eller Testing Objectives (Ranked) 1. Quantify gas productivity of individual sand bodies 2. Identify water productive intervals, either with or without simultaneous gas production 3. Quantify formation permeability and skin in major gas productive intervals. 4. Maximize number of intervals tested within the AFE limit. Testing Methodology 1. Will perforate and test in a bottom-up fashion all zones which meet minimum pay / thresholds. Will avoid adding perforations below existing perfs. 2. Will strive to obtain a full understanding of each productive interval prior to perforating new intervals. Therefore, after perforating each interval will conduct the necessary diagnostic tests to determine (at least) whether the zone is gas or water productive. Possible diagnostic tests include: a. Flowing BHT/BHP surveys (identify and perhaps quantify gas influx points) / b. Static BHP surveys (identify change in liquid level, fluid density) c. Pressure buildup survey (quantify permeability and skin in confirmed productive dry gas intervals) d. Flow test (quantify gas rate, deliverability) e. Reservoir limits testing considered very unlikely 3. Water producing zones will be isolated with a drillable bridge plug. a. Zones that are 100% water productive will be plugged immediately after confirming that they produce only water // b. Zones that are confirmed tight (i.e. no influx whatsoever) shall not be plugged nor re-perforated. c. Zones that produce gas and water simultaneously will be tested sufficiently to quantify gas: productivity prior to being plugged 4. Prior to setting a bridge plug, the well will be displaced with methane/nitrogen so that the next up-hole interval is perforated in a dry wellbore. Business Trade Offs (Ranked) 1. Quality - This procedure should provide a thorough assessment of each perforated interval unless we shoot an interval below existing perfs or somehow misinterpret an interval's capacity for water production. 2. Time - Gathering this degree of information on each perforated interval will lengthen the total testing time. 3. Cost - This philosophy will increase testing cost due to the increase in total testing time and the potential for setting multiple bridge plugs in the hole. It should however eliminate the need for coil tubing or a follow-up testing program. Star-l Beluga Testing Philosophy Revised: April 27, 2005 API: 50·231-20024 AOGCC: 204-117 1320' FSL & 489' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3W' IBT Tree cxn - 2W' Bowen cxn Completion . Baker "H" chemical injection nipple at 2515' with 1/4", 0.049" wall SS chemical injection line - Inline Baker ZX packer at 3991' . Annulus loaded with 9.5 ppg OBM Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Star-1 schematic 3-23-2005 . ~ · · · · · · · · · · · · · · · ... z ~ ~~ PBTO = 9040' TO = 9130' z ~ ßtl . Well Name: Star #1 Field: Wildcat State: Alaska '¡COnductor: 16",82.77 ppf, K-55 to I 75' ~ Surface CasinQ: 9%", 47 ppf, L·80, BTC to 1508' Cmnt with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg tail "G" Intermediate CasinQ: 7", 26 ppf, L-80, BTC-Mod to 4522' Cmnt with 45 bbl of 12.8 ppg lead lead and 18 bbl of 15.8 ppg "G" tail. Î1 I Perfs: T·63: 8090' . 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5", 7/31 & 9/11/04) T·75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17104) T-83: 8777'·8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17104) -f°îo 76' ' FiSh at 8897': 38.7' x 2.5" 00 SLB gun assembly, 9/11/04 / . Production CasinQ: 3W', 9.2 ppf, L-80, / IBT·Mod to 9108' Cmnt with 157 bbl of 12.0 ppg Utecrete / Updated by: JGE . STATE OF ALASKA ALAS IL AND GAS CONSERVATION COMMrA:>N REPORT OF SUNDRY WELL OPERA'TI"ONS 1. Operations Abandon U Repair Well U Performed: Alter Casing 0 Pull Tubing 0 Change Approved Program 0 Opera!. Shutdown 0 2. Operator Union Oil Company of California Name: 3. Address: PO Box 196247, Anchorage, AK 99519 7. KB Elevation (ft): 480' MSL 8. Property Designation: Star Pad 11. Present Well Condition Summary: Total Depth measured 9,130' feet true vertical 8,640' feet Effective Depth measured 9,040' feet true vertical 8,552 feet Casing Length Size Structural Conductor 75' 16" Surface 1,508' 9-5/8 " Intermediate 4,522' 7" Production 9,108' 3-1/2" Liner Perforation depth: Measured depth: 8,090' to 8,856' True Vertical depth: 7,627 to 8,371' Tubing: (size, grade, and measured depth) Packers and SSSV (type and measured depth) 12. Stimulation or cement squeeze summary: Intervals treated (measured): n/a Treatment descriptions including volumes used and final pressure: RECEIVED APR 1 2 2005 Stimulate U Other U WaiverD Time EAlalka~ & Gas Gonl. Commis:;on Re-enter Suspended Well 0 Al' c~orage 5. Permit to Drill Number: Exploratory 0 204-117 Service 0 6. API Number: 50-231-20024 9. Well Name and Number: Star-01 10. Field/Pool(s): Deep Creek UnitlTyonek Plug Perforations U Perforate New Pool 0 Perforate 0 4. Current Well Class: Development 0 Stratigraphic 0 Plugs (measured) n/a Junk (measured) 8,897' MD rvD Burst Collapse 75' n/a n/a 1,507' 5750 psi 3090 psi 4,283' 7240 psi 5410 psi 8,619' 10,160 psi 10,530 psi 75' 1,508' 4,522' 9,108' n/a Baker ZX packer @ 3,991' Prior to well operation: Subsequent to operation: 14. Attachments: Copies of Logs and Surveys Run Daily Report of Well Operations Represéntative Daily Average Production or Injection Data Gas-Mcf Water-Bbl Casing Pressure 280 0 0 282 0 0 15. Well Class after proposed work: Exploratory ~ Development n 16. Well Status after proposed work: Oil 0 Gas 0 WAG 0 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. 13. Oil-Bbl o o x Contact Gary Eller 263-7848 Printed Name TImothy C. Brandenburg _ s"oat,zgé/ g Form 10-404 Revised 04/2004 Tubing Pressure 300 300 Service n GINJ 0 WINJ 0 WDSPL D ISUndry Number or N/A if C.O. Exempt: 305-063 Title Drilling Manager Phone 907-276-7600 Date 4/9/2005 ("'1 "-..,.' RBDMS BFL APR 1 3 2DD5 \ G\\~/\L Submit Original Only API: 50-231-20024 AOGCC: 204-117 1320' FSL & 489' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3W' IBT Tree cxn - 2Y2" Bowen cxn Completion - Baker "H" chemical injection nipple at 2515' with 1/4", 0.049" wall SS chemical injection line - Inline Baker ZX packer at 3991' - Annulus loaded with 9.5 ppg OBM Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Star-1 schematic 3-23-2005 . ~ ... z ~ z ~ ~~ PBTD = 9040' TD = 9130' . Well Name: Star #1 Field: Wildcat State: Alaska ',conductor: 16", 82.77 ppf, K-55 to 75' .. Surface Casino: 9%", 47 ppf, L-80, BTC to 1508' Cmnt with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg tail "G" Intermediate Casino: 7", 26 ppf, L-80, BTC-Mod to 4522' Cmnt with 45 bbl of 12.8 ppg lead lead and 18 bbl of 15.8 ppg "G" tail. Perfs: T-63: 8090' - 8110' (6 spf, 2.5", 8/2/04) T-65: 8274' - 8302' (6 spf, 2.5", 8/1/04) T-67: 8366' - 8396' (6 spf, 2.5", 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 2.5", 9/11/04) T-81: 8634' - 8662' (2.5", 6 spf, 3/18/05) T-81: 8668' - 8683' (2", 6 spf, 9/17104) T-83: 8777' - 8797' (2.5", 6 spf, 3/18/05) T-83: 8846' - 8856' (2", 6 spf, 9/17104) FiSh at 8897': 38.7' x 2.5" OD SLB gun assembly, 9/11/04 Production Casino: 3Y2", 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg Litecrete Updated by: JGE 3/15/95-3/18/05 . . MI/RU 3/18/05 RU e-line unit. PJSM. Pressure test lubricator 3000 psi. Draw well down to 500 psi flowing tubing pressure to achieve 2500 psi perforating under balance. RIH with 20' of 2.5",6 spf HSD guns loaded with 2506 PJ, HMX to 8797'. Tie into SCMT of 7/30/04. Run to 8888' pull back up to tie in depth fire guns. Prior to perforating, well making 430 mcfd with 500 psi TP. PerfT-83 Sand 8777' - 8797' at 1618 hrs. POOH. Well making 440 mcfd after perforating T-83. Production changed the orifice plate @ 17:00 hrs from a 1.25" to 0.875" to get better reading on chart, and measured rate dropped to 362 mcfd. RIH with 28' of same guns. Tie in SCMT, put guns on depth with T-81 Sand 8634' - 8662'. Fire guns @ 18:49 hrs. POOH. Continued flowing and testing well. Production lowered well pressure to 300 psi @ 21 :00 hrs. Rate stabilized at 282 mcfd. 3/19/05-3/29/05 Continue testing. RD/MO. Star-01 (AFE 163744) morning report summary, CONFIDENTIAL: last revised 4/11/2005, Page 1. . @ ~,! @Tr;C, fl)ì";E Fe" n ¡Æ ~ W7, Fel,", cìd) :J /JÏJ ~ lb U1J J Lf1\ U~:H.rlj © U'~ Lf1\ . ;2ðC/" I ( 7 A .,ASIiA. OIL AND GAS CONSERVATION COMMISSION FRANK H. MURKOWSKI, GOVERNOR 333 W. 7'" AVENUE. SUITE 100 ANCHORAGE. ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Tim Brandenburg Drilling Manager Union Oil Company of California P.O. Box 196247 Anchorage, Alaska 99519 Re: Star #1 Sundry Number: 305-063 Dear Mr. Brandenburg: Enclosed is the approved Application for Sundry Approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed form. Please provide at least twenty-four (24) hours notice for a representative of the Commission to witness any required test. Contact the Commission's petroleum field inspector at (907) 659-3607 (pager). As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the Commission grants for good cause shown, a person affected by it may file with the Commission an application for rehearing. A request for rehearing is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. A person may not appeal a Commission decision to Superior 000 unless rehearing has been requested. DATED this -:;- day of March, 2005 Encl. Abandon U Alter casing D Change approved program D 2. Operator Name: Union Oil Company of California 3. Address: 1. Type of Request: PO Box 196247, Anchorage, AK 99519 7. KB Elevation (ft): 480' MSL 8. Property Designation: Deep Creek Unit 11. Total Depth MD (ft): Total Depth TVD (ft): 9130 8640 Casing Structural Conductor Surface Intermediate Production Liner Perforation Depth MD (ft): 8090'-8856' Packers and SSSV Type: Length Size 75 16" 1508 9-5/8 " 4522 7" // \¡.jbí\ 1/1 (¡,.co 5 . STATE OF ALASKA _~.J/) RECE'VE"'D~\ ALA OIL AND GAS CONSERVATION COMM~N ) zr- . . . APPLICATION FOR SUNDRY APPROVAL MAR 0 4 2005 20 AAC 25.280 Operational shutdown U Plug Perforations D Perforate New Pool D 4. Current Well Class: Suspend U Repair well D Pull Tubing D Perforate ~ / Alas~~as G005. GommiUf JR Stimulate D Time Extension []nchorage Re-enter Suspended Well D 5. Permit to Drill Number: 204-117/ Development Stratigraphic D D ./ Exploratory 0 D 6. API Number: 50-231-20024 /' Service 9. Well Name and Number: Star #1 / 10. Field/Pools(s): Wildcat PRESENT WELL CONDITION SUMMARY Effective Depth MD (ft): Effective Depth TVD (ft): Plugs (measured): 9040 8552 n/a Junk (measured): 8897 MD TVD 75 75 1508 1508 4522 4283 3991 '-91 08' 3821 '-8618' Burst Collapse n/a 6870 psi 7240 psi n/a 4750 psi 5410 psi 5117 3-1/2" IperfOration Depth TVD (ft): 7626'-8371 Baker ZXP packer BOP Test D Form 10-403 Revised 11/2004 ITubing Size: ITubing Grade: 3-1/2" L-80 Packers and SSSV MD (ft): 10,160 psi 10,530 psi ITubing MD (ft): 3991 Baker ZXP packer at 3991 ' 12. Attachments: Description Summary of Proposal U 13. Well Class after proposed work: Detailed Operations Program 0 BOP Sketch D Exploratory 0 ./ Development D Service D 14. Estimated Date for 6/"'J, 15. Well Status after proposed work: Commencing Operations: ~05 Oil D Gas 0 / Plugged D Abandoned 16. Verbal Approval: Date: WAG D GINJ D WINJ D WDSPL Commission Representative: ~ 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Gary Eller (26,3-78481 ,~<... Printed Name Timothy C. Brandenburg Title Drilling Manager Signature ? ""~--ebfi!t1one 907-276-7600 Date '3>-t;(-D5' if / COMMISSION USE ONLY D D Conditions of approval: Notify Commission so that a representative may witness Sundry Number: 3oS- --0 ~ 3 Plug Integrity D Mechanical Integrity Test D Location Clearance D Other: l€st 80PE fv ~ 000 p S if, Approved by: RBDMS 8F!. MAR 0 8 2005 APPROVED BY åFrr~r\\l Þ\ CHE COMMISSION 31// Date: Submit in Duplicate . . Star #1, Wildcat Test Additional Tyonek Sands AFE 163744 Well History: The Star #1 well was drilled and completed in July/August 2004 in exploration of deep Tyonek gas. This was the last SKG well drilled using oil base mud. The drilling operation included collection of rotary sidewall cores in numerous Tyonek and Beluga intervals. Initial flow testing operations were conducted with the drill rig standing by. The Tyonek T -67 and T -65 sands were perforated and promptly plugged back when they failed to produce or build pressure. Gas production of 535 mcfd with 400 psi FTP was then established / from the T -63 sand. The total duration of the T -63 flow test was 7.5 hours and no pressure transient data was captured. A second phase of perforating and flow testing was conducted in September after the rig was demobed. Coil tubing was used to clean out three bridge plugs that were placed in the wellbore in August, but coil tubing did not completely remove cement that was dumped on top of the bridge plugs. This cement rind plagued subsequent wireline operations in the well. The T -63 was again flow tested (along with the T -65 and T -67) but was now only capable of producing 270 mcfd with 510 psi FTP. The T-75 Sand was perforated with higher underbalance than had been used in August and provided a production increase. The T -67 was re- perforated and the guns became stuck and ultimately lost in the hole. The T -83 /~ and the T-81 Sands were perforated with smaller OD guns without notable production change. A flowing temperature survey confirmed that the T -63 and T- 75 were contributing most of the well's production with the T -83 making a very minor contribution. Final flow rate from the Star #1 with all zones open was 250 mcfd with 300 psi FTP. There is plentiful evidence that fluid was accumulating in the wellbore during this second phase of flow test operations. Objective: Clean out the wellbore. Add perfs in the T-81 and T-83 and flow test. Procedure: 1. Plow and sand road out to the Star pad. Clear off the pad and MI drilling support trailer and generator. RV satellite dish for communications. Hook up generator to the pump for the source water well on the Star pad. Lay liner for secondary containment. MI diesel fuel storage tank and place inside containment. MI 500- bbl tank for KCI source water and a Johnson tank for flowback. Fill the source water tank with ±400 bbl of fresh water. Heat the fluids as needed to prevent freezing. Blend 3% KCI using vac truck. (Note: Will need Illbs of KCI per barrel for a 3% solution.) /' 2. MIRV 1%" coil tubing and nitrogen. Fluids will circulate from the 500-bbl tank through a transfer pump and dual-pod filter into the coil tubing. Will take returns Star-l Testing Procedure 2005 March 4, 2005 Star #1 Additional Tyonek Testing Procedure AFE 163744 Page 2 . . to the Johnson tank, and a vac truck will be on location to transfer fluids if necessary. Get a starting strap of fluids on location. Pressure test BOPE to / 300/3000 psi using water and conduct pre-job safety meeting. MU tool string with 2.84" OD, 2%" motor, straight bar, and MHA with circ sub. 3. Rill with milling assembly circulating 3% KCl at minimum rate to 7900'. Establish returns (hole is starting empty) and get a pickup weight. Increase rate to 1.2 bpm. (Note: At 1.2 bpm will have 210 fpm annular velocity. Motor is a 2%" XP-PowerPak motor: 20 to 50 gpm, 150 to 350 rpm, 600 psi dP, 14 hp). RIH, drill through cement rind starting at ±8068' to 8350'. Continue to Rill to top of fish at 8897'. Circulate BU. 4. Drop a ball to open the circulating sub. When the circulating sub is open, cease circulating fluid and get a tank strap. Begin circulating nitrogen at 1500 sefm, unloading the well to the returns tank. Jet well dry. Leave the well with 2,700 psi trapped pressure using nitrogen. POOH. RDMO coil tubing and nitrogen. Haul off exempt fluids to the G&I "dump tank" on the NNA pad for disposal. 5. MIRU slickline unit. Pressure test lubricator and conduct pre-job safety meeting. Rill with 2.80" gauge ring to top of fill. Tag fill, POOH. (Note: If slickline tags up in the vicinity of the old cement rind at 8050' -8326', Rill with a full-gauge braided line brush to brush out this area.) PU 30' of 2Y2" dummy guns and Rill to top of fill. POOH, RDMO slickline. 6. MIRU Unocal test skid as per attached layout. Install and test nitrogen bottle supply to SSV. Place flare stack at a location on the pad that recognizes safety and environmental considerations such as proximity to ignition sources, vehicle access, etc. Install SPIDR continuous surface pressure recorder on wellhead. Pressure test flowback iron and test skid to 4000 psi upstream of the choke skid (MA WP = 4600 psi), 3500 psi across the line heater (MA WP = 3800 psi), and 900 psi across the separator (MA WP = 1200 psi). Will dump fluids to the Johnson tank. 7. MIRU Schlumberger electric line unit. Pressure test lubricator and conduct pre- job safety meeting. Prior to Rill, draw well down to ±500 psi flowing tubing pressure to achieve 2500 psi perforating underbalance. MU 21/2", 6 spf, 60° phase hollow carrier guns loaded with 10.5 gm PJ2506 charges with SECURE firing system. Rill. Tie-in W~'th log of 7/30/04. Perforate the T-81 and T-83 Sand intervals with the ell fl ing. (Note: Specific perforation intervals to ~" follow.) POOH, RDM tric line. 8. Continue to flow well at 500 psi FTP. Inject methanol as needed to prevent freezing. Take rate, pressure, and temperature readings every 30 minutes. Light Star-l Testing Procedure 2005 March 4, 2005 Star #1 Additional Tyonek Testing Procedure AFE 163744 Page 3 . . flare as soon as practical and notify local Fire Department of flaring. Flow well for a minimum of 36 hours. 9. MIRV slickline unit with depth encoder. Pressure test lubricator and conduct pre- job safety meeting. With well still flowing, RIH with 2.75" gauge ring with weighted stem, anti-blowup tool, and shock absorber. Tag fill at ±8897'. POOH. PV tandem set of Pollard "Tri-gauge" pressure bombs and RIH. Log up and down at 40 fpm from 7700' - 8900' with well flowing. POOH, download bombs. Drop off the anti-blowup tool and shut-in well. RIH with tandem quartz pressure / bombs suspended on an AD-2 slip stop for 3Y2" IBT tubing. Set pressure bombs r ±30' above fill and POOH. RDMO slickline. 10. Resume flowing well at 500 psi FTP. Inject methanol as needed to prevent freezing. Take rate, pressure, and temperature readings every 30 minutes. Light flare as soon as practical and notify local Fire Department of flaring. Plan to produce the well for the next 2-3 days. 11. When instructed by Completion Engineer, shut-in the well at the wing valve. Make sure the SPIDR gauge is rigged up so that it continues to record tubing pressure after the well is shut in. Secure well and location. Discuss with Completion Engineer whether to rig down test equipment and drilling camp or leave it rigged up for further testing. Send SPIDR and well test data to Anchorage. Plan to perform a 3-day pressure buildup survey with the bombs in the hole. 12. MIRV slickline unit. Pressure test lubricator and conduct pre-job safety meeting. RIH and latch AD-2 slip stop at ±8867'. POOH making lO-minute static stops at ,/ 8500', 8000', 4000' , and 0'. Download bombs. Shut in and secure well. RDMO slickline. Send SPIDR and test data to Anchorage. Star-l Testing Procedure 2005 March 4, 2005 API: 50-231-20024 AOGCC: 204-117 1320' FSL & 489' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' Tbg lift threads - 3Y2" IBT Tree cxn - 2%" Bowen cxn Completion - Baker "H" chemical injection nipple at 2515' with 1/4",0.049" wall SS chemical injection line - Inline Baker ZX packer at 3991' - Annulus loaded with 9.5 ppg OBM / Tubino obstructions: - 8068',8308' (9/10104) Probably remnants of Fasdrill bridge plugs and cement at 8050',8234', and 8326'. Directional Data: max hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Star-1 schematic 2-2-2005 . ~ ... ::8: ~ ::8: ~ ~ ~ ~ ~ ~~ PBTD = 9040' TD = 9130' . Well Name: Star #1 /' Field: Wildcat State: Alaska ',conductor: 16",82.77 ppf, K-55 to 75' ~ Surface Casino: 9"/.", 47 ppf, L-80, BTC to 1508' Cmnt with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg tail "G" Intermediate Casino: 7", 26 ppf, L-80, BTC-Mod to 4522' Cmnt with 45 bbl of 12.8 ppg lead lead and 18 bbl of 15.8 ppg "G" tail. Perfs: T-63: 8090' - 8110' (6 spf, 8/2104) T-65: 8274' - 8302' (6 spf, 8/1/04) T-67: 8366' - 8396' (6 spf, 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 9/11/04) T-81: 8668' - 8683' (6 spf, 9/17104) ( T-83: 8846' - 8856' (6 spf, 9/17104) S FiSh at 8897': 38.7' x 2.5" OD SLB gun assembly, 9/11/04 Production CasinQ: 3W', 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg Litecrete Updated by: JGE . . Unocal Alaska 909 W. 9th Avenue Anchorage, AK 99501 Tele: (907) 263-7889 Fax: (907) 263-7828 E-mail: oudeand@unocal.com UNOCAL@ Debra Oudean G & G Technician Date: December 2, 2004 To: AOGCC Helen Warman 333 W. 7th Ave. Ste#100 Anchorage, AK 99501 rmqrm~r-'~IIIID ] WELL 1 LOG TYPE '1 SCALE l;fT~ 11~~~V:r,L 1 L~E IFILMICDI NOTES I ;2"'-1 (1 ~~~'~~:T-·'.,"··'·-·-=rc~~~~~:~~G~~~~~~~~~~6~~~g;~~~~t·~¡~t~t~~~j~:~:~{~:"--·r+=[=+f-,~·r-----~--~_·_: -1 All 1 tiAPPYVAL.LEY~-ISlIM CEMENT MAPTOOL r5INCITr1Q¡2õ720Ü4·1700~-.;i1¡¡O-r-1I1r1-1-----'---: ~~O"FPPYVALLEY-7~g~~~~RECOiíDÚSHS[) - - - - - siNC"T8i2412OO41999a:'OO'8 ]' r-iì '¡----¡ ¡HAPPY VALLEY-7 IMD MUDLOG f2îNCH I 7/14/200411008-10274 ¡---'¡-[ofj'l ~rHAPPY VALLEY-8 I~~~~~E:~ON RECORD 2.S 2S06 POWERJET ¡SINCH 18/26/20041S688-6799 1J1 11 ~~ \: :HAPPY VALLEY-8 MD MUDLOG 12 INCH 7/3012004f¡8-8900 -110rJ]__~_._~ '" 0 ¡HAPPY VALLEY-8 ITVD SONIC QUAD COMBO 12INCH ,7/31ï2004120-8892 I 1 [Of 1 ¡COMBINED i r ¡HAPPY VALLEY-8 MD SONIC QUIAD COMBO 12 INCH I 7/31/2004120-8892 I 0 , 0 ON CD f j -¡REEVES DATA VIEWER ,I I I -¡O-[O[1"r HAPPY VALLEY·9 [COMPLETION RECORD 2.S HSD POWERJETS ¡SINCH 1 11/S/2004[7390-8362 I _~[ 10] !HAPPY VALLEY ·9 ARRA Y INDUCTION 1 THREE-LITHO-DENSITY '~)¡NCH- 9/23/2004 0-8468 1 1 1 ,-- l\~: 1 COMPENSATED NEUTRON 1 BHC SONIC ~ í \; , TVD COMBINED I ~," ¡HAPPY VALLEY-9 ARRAY INDUCTION /THREE-LITHO-DENSITY 2/S 9/23/20040-8468 DON CD r~"," i 1 COMPENSATED NEUTRON 1 BHC SONIC INCH ~lJ i PLATFORM EXPRESS ;'( ¡HAPPY VALLEY-9 ~~~FORATION RECORD 2.S HSD 2506PJ6'fNCH 11/8/2004[7440-7837 ;HAppy VALLEY-9 ~lIM CEMENT MAPPING TOOL ¡SINCH [11/1/200412900-8391 '!HAPPY VALLEY-9 SlIM CEMENT MAPPING rOÒL lsINC~ [9/17/200410-3006 " 11 I 1 ri~r 1111r11 ,1~[1I1- Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to (907) 263-7828. Date Ai)'7,;Çy ) t . Unocal Alaska 909 W. 9th Avenue Anchorage, AK 99501 Tele: (907) 263-7889 Fax: (907) 263-7828 E-mail: oudeand@unocal.com UNOCALe Debra Oudean G & G Technician To: AOGCC Helen Warman 333 W. 7th Ave. Ste#100 Anchorage, AK 99501 rmqvm~"'~I.1I1III STAR 1 Notebook containing: Omni Laboratories, Inc Rotary Core Analysis Report File: A-87004 . Date: November 30, 2004 Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to (907) 263-7828. J ../1 ! /' ,:~~ 1/' / J f (: /~ i ~ .' / .' . .~ :' ' . -J Received BY/''ft~ Lit· / Date: J" "),- l t._",,-,- / -.~. o:..¡ ~bi..l-I/7 hi~ _ STATE OF ALASKA ALASf<.W,. AND GAS CONSERVATION COMMIS. WELL COMPLETION OR RECOMPLETION REPORT AND LOG OilU Gas~ Plugged U AbandonedU SuspendedU WAGU 1b. Well Class: 20AAC 25.105 20AAC 25,110 Development D Exploratory 0 No. of Completions 1 Other Service D Stratigraphic TestD 5. Date Comp., Susp., or 12. Permit to Drill Number: .ß.~ Aband.: 7/31/04 ~ J.Otj¡/70 6. Date Spudded: 13. API Number: July 12, 2004 50-231-20024 7. Date TD Reached: 14. Well Name and Number: July 24, 2004 Star-01 ~ 8. KB Elevation (ft): 15. Field/Pool(s): 480' above MSL 9. Plug Back Depth(MD+ TVD): 8,050/7,589' 10. Total Depth (MD + TVD): 9,130/8,640' 11. Depth Where SSSV Set: n/a 19. Water Depth, if Offshore: nla feet MSL 1a. Well Status: GINJD WINJD WDSPLD 2. Operator Name: Union Oil Company of California 3. Address: PO Box 196247, Anchorage, AK 99501 4a. Location of Well (Governmental Section): (tI Surface: 1357 FSL, 405 FWL, Sec. 24, T3S, R~ Top of Productive Horizon: 11 1,346' FSL, 1,626 FEL, Sec. 23, T3S, R)8'N Total Depth: It{ 1,189' FSL, 1,795' FEL, Sec. 23, T3S, RjJNv 4b. Location of Well (State Base Plane Coordinates): Surface: X = 202,728, Y = 2,158,848 TPI: X = 200,695, Y = 2,158,815 Total Depth: X = 200,523, Y = 2,158,663 18. Directional Survey: Yes ~ No U 21. Logs Run: 8.5 Quad, 6-1/8 PEX, CMR, FMI, DSI, MSCT Deep Creek UnitlTyonek 16. Property Designation: Star Pad 17. Land Use Permit: nla 20. Thickness of Permafrost: n/a 22. CASING, LINER AND CEMENTING RECORD WT. PER SETTING DEPTH MD SETTING DEPTH TVD AMOUNT CASING FT. GRADE TOP BOTTOM TOP BOTTOM HOLE SIZE CEMENTING RECORD PULLED 16" 82.77# K-55 0 75' 0 74' Driven Driven 9-5/8" 47# L-80 0 1,508 0 1,507' 12-1/4" 88 bbl of 12.8 ppglead. 29 bbl 0£'15.8 ppg tail"G" 7" 26# L-80 0 4,522 0 4,283' 8-1/2" 45bbl 12.8ppglead/18bbl 15.8ppg "G" tail. 3-1/2" 9.2# L-80 0 9,108' 0 8,619' 6-1/8" 157 bbl of 12.0 ppg Litecrete 23. Perforations open to Production (MD + TVD of Top and Bottom Interval, Size and Number; if none, state "none"): T-63: 8090' - 8110' (6 spf, 8/2/04) T-63: 8090' - 8110' (6 spf, 8/2/04) T-65: 8274' - 8302' (6 spf, 8/1/04) T -67: 8366' - 8396' (6 spf, 7/31 & 9/11/04) .j ,_ ~r~E,à. " T-75: 8532' - 8552' (6 spf, 9/11/04) ð~s~/_ .~~l,fjED { ~~- Po ""~.'J ' ,- ::'-."",."""" ~ 24. SIZE TUBING RECORD DEPTH SET (MD) PACKER SET (MD) Baker ZX pkr@ 3,991' 25. ACID, FRACTURE, CEMENT SQÙEEZE>ETC. DEPTH INTERVAL (MD) AMOUbQ1lANDKIND OF MAìERIAL USED , ,If 26. PRODUCTION TEST Date First Production: Method of Operation (Flowing, gas lift, etc.): N/A Flowing Date of Test: Hours Tested: Production for Oil-Bbl: Gas-MCF: 9/18/2004 24 Test Period ... 0 245 Flow Tubing Casing Press: Calculated Oil-Bbl: Gas-MCF: Press. 310 0 24-Hour Rate ... 0 245 27. CORE DATA Brief description of lithology, porosity, fractures, apparent dips and presence of oil, gas or water (attach separate sheet, if necessary). Submit core chips; if none, state "none". 4601.0 Sd vfg sshy; 4734.0 Sd fg; 4740.0 Sd vfg sshy vcalc; 4920.0 Sd fg; 5442.0 Sd fg-mg w/carb strks scalc; 7092.0 Sit w/thn sh lams; 7431.0 Sd vfg- fg w/thn carb lams scalc; 7636.0 Sd mg scale; 8096.0 Sd mg-cg; 8106.0 Sd mg-cg w/sm sh clasts; 8130.0 Sd fg-mg scalc; 8282.0 Sd fg-mg scalc; 8289.0 Sd fg-mg scalc; 8298.0 Sd mg-cg scalc; 8374.0 Sd mg-cg w/lig lam; 8386.0 Sd mg-cg scarb; 8450.0 Sd fg scalc; 8544.0 Sd cg; 8550.0 Sd cg; 8570.0 Sd fg-mg; 8638.0 Sd fg-mg w/thn carb strks; 8686.0 Sd mg scaqrb; 8796.0 Sd fg-mg scarb; 8851.0 Sd mg-cg w/sm sh strks; 8920.0 Sd mg scarb; Water-Bbl: o Water-Bbl: o Form 10-407 Revised 12/2003 CONTINUED ON REVERSE Choke Size: GaS-Oil Ratio: n/a n/a Oil Gravity - API (corr): n/a (.oF tcl:SuMS tß"L NOV 1 6 1004 NAME . TVD 29. FORMATION TESTS Include and briefly Serize test results. List intervals tested, and attach detailed supporting s necessary. If no tests were conducted, state "None". 28. GEOLOGIC MARKERS Testing operations summarized in daily operations reports (attached). Tyonek T 40 T65 T 81 4,555 6,420 7,805 8,155 4312 6032 7353 7689 30. List of Attachments: Directional Survey, Daily Summary of Operations, Current Schematic 31. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact: Rob Stinson 907-263-7804 Printed Name: Tim BrandenburQ Signature: ~ /y~ Title: Drilling Manager -j Phone: 907-276-7600 Date: 11/1/2004 INSTRUCTIONS General: This form is designed for submitting a complete and correct well completion report and log on all types of lands and leases in Alaska. Submit a well schematic diagram with each 10-407 well completion report and 10-404 well sundry report when the downhole well design is changed. Item 1a: Classification of Service wells: Gas Injection, Water Injection, Water-Alternating-Gas Injection, Salt Water Disposal, Water Supply for I njection, Observation, or Other. Multiple completion is defined as a well producing from more than one pool with production from each pool completely segregated. Each segregated pool is a completion. Item 4b: TPI (Top of Producing Interval). Item 8: The Kelly Bushing elevation in feet above mean low low water. Use same as reference for depth measurements given in other spaces on this form and in any attachments. Item 13: The API number reported to AOGCC must be 14 digits (ex: 50-029-20123-00-00). Item 20: True vertical thickness. Item 22: Attached supplemental records for this well should show the details of any multiple stage cementing and the location of the cementing tool. Item 23: If this well is completed for separate production from more than one interval (multiple completion), so state in item 1, and in item 23 show the producing intervals for only the interval reported in item 26. (Submit a separate form for each additional interval to be separately produced, showing the data pertinent to such interval). Item 26: Method of Operation: Flowing, Gas Lift, Rod Pump, Hydraulic Pump, Submersible, Water Injection, Gas Injection, Shut-in, or Other (explain). Item 27: If no cores taken, indicate "none". Item 29: List all test information. If none, state "None". Form 1 0-407 Revised 12/2003 . UNOCAL8 API: 50-231-20024 AOGCC: 204-117 1320' FSL & 489' FWL Sec. 24, T3S, R14W, SM RT-THF: 16.40' RT-GL: Tbg lift threads - 3%" IBT Tree cxn - 2W' Bowen cxn Completion - Baker "H" chemical injection nipple at 2515' with 1/4", 0.049" wall SS chemical injection line - Inline Baker ZX packer at 3991' - Annulus loaded with 9.5 ppg OBM Pluas: - Halliburton Fasdril bridge plug at 8050' (8/3/04) - Halliburton Fasdril bridge plug at 8234' capped with 26' cement (8/2/04) - Halliburton Fasdril bridge plug at 8326' capped with 25' cement (7/31/04) Directional Data: m3x hole angle = 30.6 deg KOP = 1500' max doglegs: 3.5 deg/100' at 2749' 3.7 deg/100' at 5957' Star-1 schematic 9-14-2004 ~ :g ~ · · · · · · · · · · · · · · ... :g .... ~~ PBTD = 8050' I TD = 9130' . Well Name: Star #1 Field: Wildcat State: Alaska '¡COnductor: 16",82.77 ppf, K-55 to 75' ~ Surface Casina: 9%", 47 ppf, L-80, BTC to 1508' Cmnt with 88 bbl of 12.8 ppg lead and 29 bbl of 15.8 ppg tail "G" Intermediate Casina: 7", 26 ppf, L-80, BTC-Mod to 4522' Cmnt with 45 bbl of 12.8 ppg lead lead and 18 bbl of 15.8 ppg "G" tail. Perfs: T-63: 8090' - 8110' (6 spf, 8/2/04) T-65: 8274' - 8302' (6 spf, 8/1/04) T-67: 8366' - 8396' (6 spf, 7/31 & 9/11/04) T-75: 8532' - 8552' (6 spf, 9/11/04) i Perf Gun Fish I Production Casina: 3%", 9.2 ppf, L-80, IBT-Mod to 9108' Cmnt with 157 bbl of 12.0 ppg Litecrete Updated by: JGE >Information >Well >Directional Surveys >F.rvey . Select Well: STAR 1 ' -~~~ Report Name Well Date Created Position Log STAR 1 10/27/2004 Well Name CURRENT STATUS API KB Surf X Surf Y (ft) (ft) (ft) iïnterpc;íãt";l STAR 1 UNKNOWN 502312002400 480 202,728 2,158,848 MD TVD SSTVD X Off Y Off X Y Inc Azimuth (ft) (ft) (ft) (ft) (ft) (ft) (ft) (deg) (deg) 0 0 480 0 0 202,728 2,158,848 0.0 0 50 49 431 0 0 202,728 2,158,848 0.3 285 100 99 381 0 0 202,728 2,158,848 0.6 292 150 149 331 0 0 202,728 2,158,848 0.6 296 200 199 281 -1 0 202,727 2,158,848 0.6 309 250 249 231 -1 0 202,727 2,158,848 0.6 305 300 299 181 -2 1 202,726 2,158,849 0.7 300 350 349 131 -2 1 202,726 2,158,849 0.8 299 400 399 81 -3 1 202,725 2,158,849 0.8 300 450 449 31 -4 2 202,724 2,158,850 0.8 295 500 499 -19 -4 2 202,724 2,158,850 0.9 298 550 549 -69 -5 2 202,723 2,158,850 0.8 301 600 599 -119 -5 3 202,723 2,158,851 0.7 311 650 649 -169 -6 3 202,722 2,158,851 0.6 311 700 699 -219 -6 4 202,722 2,158,852 0.6 307 750 749 -269 -7 4 202,721 2,158,852 0.6 311 800 799 -319 -7 4 202,721 2,158,852 0.8 312 850 849 -369 -8 5 202,720 2,158,853 0.9 324 900 899 -419 -8 5 202,720 2,158,853 0.8 327 950 949 -469 -8 6 202,720 2,158,854 0.7 323 1,000 999 -519 -9 6 202,719 2,158,854 0.6 326 1,050 1,049 -569 -9 7 202,719 2,158,855 0.6 333 1,100 1,099 -619 -9 7 202,719 2,158,855 0.6 334 1,150 1,149 -669 -9 8 202,719 2,158,856 0.6 328 1,200 1,199 -719 -10 8 202,718 2,158,856 0.6 330 1,250 1,249 -769 -10 9 202,718 2,158,857 0.7 332 1,300 1,299 -819 -10 9 202,718 2,158,857 0.8 329 1,350 1,349 -869 -11 10 202,717 2,158,858 0.8 332 1,400 1,399 -919 -11 10 202,717 2,158,858 0.8 339 1,450 1,449 -969 -11 11 202,717 2,158,859 0.9 352 1,614 1,613 -1,133 -12 14 202,716 2,158,862 1.3 334 1,709 1,708 -1,228 -13 16 202,715 2,158,864 1.2 326 1,804 1,803 -1,323 -14 18 202,714 2,158,866 1.3 323 1,898 1,897 -1,417 -16 19 202,712 2,158,867 1.5 326 1,993 1,992 -1,512 -19 22 202,709 2,158,870 4.0 284 2,087 2,086 -1,606 -26 24 202,702 2,158,872 4.5 282 2,181 2,179 -1,699 ~35 26 202,693 2,158,874 6.8 283 2,276 2,273 -1,793 -48 29 202,680 2,158,877 9.8 283 2,370 2,366 -1,886 -65 33 202,663 2,158,881 11.5 286 2,465 2,459 -1,979 -85 40 202,643 2,158,888 13.7 292 2,560 2,550 -2,070 -108 49 202,620 2,158,897 16.2 291 2,655 2,641 -2,161 -135 58 202,593 2,158,906 19.0 287 2,749 2,729 -2,249 -166 68 202,562 2,158,916 22.3 287 2,844 2,816 -2,336 -203 79 202,525 2,158,927 25.1 288 2,939 2,901 -2,421 -243 92 202,485 2,158,940 27.4 287 3,034 2,984 -2,504 -287 104 .,441 2,158,952 30.0 285 . 3,128 3,066 -2,586 -332 116 ,396 2,158,964 29.5 284 3,223 3,149 -2,669 -377 128 202,351 2,158,976 29.4 285 3,317 3,231 -2,751 -421 139 202,307 2,158,987 28.9 284 3,412 3,314 -2,834 -466 151 202,262 2,158,999 29.5 286 3,507 3,397 -2,917 -511 163 202,217 2,159,011 29.1 285 3,601 3,479 -2,999 -555 177 202,173 2,159,025 29.2 290 3,696 3,562 -3,082 -598 192 202,130 2,159,040 28.8 289 3,791 3,645 -3,165 -641 207 202,087 2,159,055 28.2 288 3,885 3,728 -3,248 -684 221 202,044 2,159,069 29.5 289 3,980 3,810 - 3,330 -728 236 202,000 2,159,084 28.9 289 4,074 3,892 -3,412 -772 251 201,956 2,159,099 30.6 288 4,169 3,974 -3,494 -818 265 201,910 2,159,113 29.9 286 4,263 4,056 -3,576 -863 278 201,865 2,159,126 29.3 287 4,358 4,139 -3,659 -907 291 201,821 2,159,139 29.4 286 4,453 4,222 -3,742 -951 304 201,777 2,159,152 28.5 286 4,478 4,244 -3,764 -963 308 201,765 2,159,156 28.4 287 4,634 4,381 -3,901 -1,034 329 201,694 2,159,177 28.3 287 4,728 4,464 -3,984 -1,077 342 201,651 2,159,190 28.3 287 4,823 4,547 -4,067 -1,120 355 201,608 2,159,203 29.2 286 4,917 4,629 -4,149 -1,164 366 201,564 2,159,214 28.6 284 5,012 4,713 -4,233 -1,207 376 201,521 2,159,224 26.8 281 5,107 4,799 -4,319 -1,249 383 201,479 2,159,231 25.8 280 5,201 4,883 -4,403 -1,289 390 201,439 2,159,238 25.1 280 5,296 4,970 -4,490 -1,327 396 201,401 2,159,244 23.6 277 5,390 5,057 -4,577 -1,364 399 201,364 2,159,247 22.1 272 5,485 5,145 -4,665 -1,398 400 201,330 2,159,248 20.7 269 5,580 5,234 -4,754 -1,431 399 201,297 2,159,247 19.9 268 5,674 5,323 -4,843 -1,463 398 201,265 2,159,246 19.2 268 5,768 5,412 -4,932 -1,493 395 201,235 2,159,243 19.0 263 5,863 5,502 -5,022 -1,524 390 201,204 2,159,238 18.8 257 5,957 5,591 -5,111 -1,552 381 201,176 2,159,229 18.4 246 6,052 5,681 -5,201 -1,578 367 201,150 2,159,215 17.5 236 6,147 5,772 -5,292 -1,600 350 201,128 2,159,198 17.2 230 6,242 5,862 -5,382 -1,622 331 201,106 2,159,179 17.3 228 6,336 5,952 -5,472 -1,642 313 201,086 2,159,161 16.7 229 6,431 6,043 -5,563 -1,663 294 201,065 2,159,142 17.9 229 6,526 6,134 -5,654 -1,685 276 201,043 2,159,124 16.7 229 6,621 6,224 -5,744 -1,706 257 201,022 2,159,105 18.2 230 6,715 6,314 -5,834 -1,729 239 200,999 2,159,087 17.3 232 6,810 6,405 -5,925 -1,750 221 200,978 2,159,069 16.8 229 6,904 6,494 -6,014 -1,771 202 200,957 2,159,050 17.9 228 6,999 6,585 -6,105 -1,792 183 200,936 2,159,031 18.0 227 7,093 6,674 -6,194 -1,813 163 200,915 2,159,011 17.5 227 7,188 6,765 -6,285 -1,833 144 200,895 2,158,992 16.7 226 7,283 6,856 -6,376 -1,853 125 200,875 2,158,973 17.3 227 7,378 6,947 -6,467 -1,874 105 200,854 2,158,953 17.6 228 7,472 7,036 -6,556 -1,895 87 200,833 2,158,935 16.8 227 7,567 7,127 -6,647 -1,916 67 200,812 2,158,915 17.6 227 7,661 7,216 -6,736 -1,937 48 200,791 2,158,896 18.5 230 7,756 7,307 -6,827 -1,960 29 200,768 2,158,877 18.0 228 7,850 7,396 -6,916 -1,981 10 200,747 2,158,858 16.9 230 7,945 7,487 -7,007 -2,002 -6 200,726 2,158,842 16.2 230 8,040 7,579 -7,099 -2,022 -23 200,706 2,158,825 16.2 229 8,134 7,669 -7,189 -2,042 -41 200,686 2,158,807 16.7 229 8,261 7,791 -7,311 -2,068 -64 200,660 2,158,784 15.0 229 8,387 7,913 -7,433 -2,092 -84 .: 2,158,764 14.1 228 . 8,513 8,036 -7,556 -2,114 -104 2,158,744 12.8 228 8,639 8,159 -7,679 -2,134 -122 200,594 2,158,726 12.1 228 8,765 8,282 -7,802 - 2,153 -139 200,575 2,158,709 11.4 228 8,892 8,406 -7,926 -2,172 -156 200,556 2,158,692 11.2 229 9,018 8,530 -8,050 -2,190 -171 200,538 2,158,677 10.7 227 9,050 8,562 -8,082 -2,194 -175 200,534 2,158,673 10.5 228 9,130 8,640 -8,160 -2,205 -185 200,523 2,158,663 10.5 228 7/7/2004 From To Hours Remarks 0:00 9:00 9 Finished cleaning the mud pits and layed down the top drive. 9:00 0:00 15 Removed the poor boy separator and prepared the derrick and rig floor to lay down the derrick. Layed down the derrick. 7/8/2004 From To Hours Remarks 0:00 12:00 12 Changed out the air hoist sheaves in the crown. Installed 5-1/2" liners in the #1 mud pump. Prepared to remove the drawworks. Set the derrick off the floor and prepared it for disassembly. Removed the drawworks and hauled to Star. Loaded out and hauled the substructure and rig mats to Star, set same in place. Installed the drawworks. Moved the pits, mud pumps, water tank, dog house, ramp, 12:00 0:00 12 boiler, generator, derrick stand, and poor boy to Star pad. -./2004 From To Hours Remarks Removed the drawworks ramp. Spotted the dog house, mud pumps, and generator in place. Hooked up the service lines. Loaded out 0:00 12:00 12 and moved the derrick to Star pad. Pinned the derrick sections together. Strung up the blocks and changed out the sheave for the bridle line. Set the derrick on the floor and 12:00 0:00 12 pinned same. Connected the "A" legs and continued to spot rig equipment. 7/10/2004 From 0:00 _.2:00 7/11/2004 From 0:00 6:00 8:30 To Hours Remarks . " Removed the string up lines from the drawworks arid spooled the drilling line onto the drawworks drum. Raised the derrick and strung up 12:00 12 the air hoist and bridle lines. Picked up and installed the top drive. Connected the top drive service lines and function tested the top drive. Installed the diverter flange, diverter spool and annular preventer. Installed the diverter valve and one section of the 12" diverter line. Set the degasser. Filled the pits 0:00 12 with water. To Hours Remarks Installed the diverter system, diverter line, bell nipple, and flowline. Set the v-door and cat walk. Performed rig acceptance inspection. 6 Turnkey mobilization complete at 0600 hrs on 7/11/04. Rigged up the drill pipe handling equipment, hawk jaw and the rig floor. Installed the mousehole. Conducted pre-spud with rig crews and 2.5 service personnel. 12 Began mixing spud mud. 6:00 8:30 20:30 page 1 CONFIDENTIAL: last revised 11/10/2004 Star-01 morning report summarLAFE162580 Picked up and racked back 2 stands of 5" hevi-wate and drilling jars. Made up the 12-1/4" bit, 8" drill collars and stabilizers on 1 joint of 4" 20:30 0:00 3.5 hevi-wate. Function tested the diverter and the diverter valve. 7/12/2004 From To Hours Remarks 0:00 1 :00 1 Broke circulation and tested the mud system lines to 4500 psi. 1:00 2:00 8:30 19:00 .0:00 -~1:00 22:00 7/13/2004 From 0:00 14:30 15:30 16:00 16:30 19:30 20:00 21:00 .2:00 7/14/2004 From 0:00 1:00 3:30 5:00 9:00 10:00 2:00 1 8:30 6.5 19:00 10.5 20:00 1 21:00 1 22:00 1 0:00 2 Attempted to spud the well, #1 mud pump would not engage. Oiler pump for right angle drive would not turn on, troubleshoot same. Picked up 18 joints of 4" hevi-wate and 8 stands of 4" drill pipe while the mechanic repaired the #1 mud pump. Spudded the well at 0830 hrs on 7/12/04. Drilled from 37' to 371' (31.8 fph). Tripped out of the hole to the drill collars. Had to work through a tight spot coming off bottom, it appeared that a boulder had fallen in on a stabilizer. Erratic drilling had worked loose the kelly hose clamps in the derrick and on the top drive, tightened same. Serviced the top drive. Tripped in the hole. Washed the last 30' to bottom, no tight spots or fill. Drilled from 371' to 562' (95.5 fph). To Hours Remarks 14:30 14.5 Drilled from 562' to 1515' (65.7 fph). 15:30 1 Pumped a carbide lag and circulated a bottoms up. Lag arrived 8 barrels over annular volume for an excess factor of 5%. 16:00 0.5 Start pumping out for short trip 16:30 0.5 Service top drive 19:30 3 Pumping out; Tight spots 1228-1175(start back reaming); 1077; 844-794 20K; 724-702 30K; 677-610 20K; 590-517 20K; 494 20K 20:00 0.5 Circ 21 :00 1 RIH to bottom. Circ last 60' to bottom. No fill; no problems going to bottom. 22:00 1 CBU; Drop carbide lag.. .12 BBls higher than calc. Continue to circ hole clean.(reciprocate only) 0:00 2 Pump out of hole. No tight spots on trip out. Bit @ 516' at midnight. To 1:00 3:30 5:00 Hours Remarks 1 Pumped out of the hole to the 5" hevi-wate. 2.5 The stabilizer hung up on the conductor, work through same. Layed down the 12-1/4" bottom hole assembly. 1.5 Rigged up the Weatherford casing crew. Held pre-job safety meeting. Ran (37) joints of 9-518", 40 ppf, L-80, BTC surface casing to 1515' RKB. Installed the circulating swedge and washed the last joint to 4 bottom, no fill. 1 Circulated and conditioned the hole. 1 Layed down the top joint of casing and picked up the casing hanger and landing joint. Rigged up the cementing head and lines. 9:00 10:00 11:00 Star-01 morning report 5ummary_AFE162580 page 2 CONFIDENTIAL: last revised 11/10/2004 11:00 11:30 0.5 Conducted a pre-job safety meeting. Tested the cementing lines to 3500 psi. Cemented the 9-5/8" surface casing as follows: 3 bbls of water, 30 bbls of 10.5 ppg Mudpush II, 250 sacks (88 bbls) of Class 'G' lead cement with 1.5% D-79, 1% S-02, and 0.2% D-46 mixed at 12.8 ppg with a yield of 1.97 ft3 per sack followed by 150 sacks (29 bbls) of Class 'G' tail cement with 0.3% D-65, 1.5% S-02, and 0.2% D-46 mixed at 15.8 ppg with a yield of 1.17 ft3 per sack. Kicked out the plug with 3 bbls of water and displaced the cement with 108 bbls of 9.2 ppg mud with the rig pumps. Bumped the plug, the cement was in place at 1230 hrs on 7/14/04. Circulated 18 bbls of 12.8 ppg slurry to the surface. Tested the casing to 3000 psi for 30 minutes·on..a qhart. Re-testeç:J the ~asing to 3500 psi for 30 minutes on a chart. Checked the floats; floats held. Bleed off pressure; rig down Dowell head and lines. Clear WOC tools off floor; back out landing joint. Rigged up and ran the Scientific gyro survey. Rig down diverter system, ND stack, remove mouse hole, move cat walk, picture nipple, surface annular preventer, remove Cameron XO, set wellhead on, tighten and test same; 3500 psi/15 min. NU BOP's. Set lower single gate rams wlmud cross on wellhead; stack Hydril on double gate rams & put in subbase. 11:30 12:30 1 12:30 13:30 1 13:30 15:00 1.5 15:00 17:00 2 17:00 22:00 5 22:00 0:00 2 -~ From 0:00 9:00 11:00 12:00 15:00 17:00 18:30 19:00 23:00 7/16/2004 .rom 0:00 1:30 4:00 6:00 8:30 10:00 10:30 13:00 To Hours Remarks Set Hydril & double gate on wellhead. Tighten all bolts. Install drilling nipple, flow line, drip pan; hook up choke lines, kill line, line to gas 9 buster, change bottom rams to 7", install mouse hole. 2 Hang hawk jaw line and hawk jaw. 1 Rig up to test BOP's. Fill stack and choke manifold. 3 Test BOP's.. .250/3500psi. Lower rams wIT' failed to test. 2 Change out rubbers in ram body. 1.5 Testing bottom rams; drain stack, fill stack, check rubbers, check test joint. 0.5 Pull test joint; lay down same. 4 Install wear ring; PU DP RIH while waiting on rams from town. 1 Pull wear ring, set test joint-plug, change out bottom rams. Inspection of replaced rams and body looked good. 9:00 11:00 12:00 15:00 17:00 18:30 19:00 23:00 0:00 To Hours Remarks 1:30 4:00 6:00 8:30 10:00 10:30 13:00 15:00 1.5 Finish closing ram doors. Test 7" rams 250/3500 PSI; tested good. Test accumulator system. LD test joint and plug. Wear ring in. 2.5 PU DP; RIH; stand back 45 joints 2 PU BHA; orient motor and MWD. 2.5 RIH w/HWDP and jars. 1.5 Slip and cut drill line. 0.5 RIH to 1382'; BOP drill; 44 sec 2.5 Choke drill wlboth crews. 2 Drl out fc, shoe and cement plus 20' of new hole; CBU for LOT; rig up Schlumberger Star-01 morning report summary_AFE162580 page 3 CONFIDENTIAL: last revised 11/10/2004 15:00 16:30 16:30 0:00 7/17/2004 1.5 Have PJSM; fill lines from Schlumberger to rig floor; perform LOT; 14.15 EMW 7.5 Drill from 1535' to 2233' by midnight. From To Hours Remarks 0:00 0:00 24 Drilled, Slid, and Surveyed from 2233' to 4315'. Pumped two Hi-Visc pills which carried up extra cuttings each time; 3690' and 4220'. TPIG= 2082 APIG = 129 Incl = 29.33 Azi = 286.7 @ 4263' 7/18/2004 .rom To 0:00 3:00 3:00 4:00 4:00 7:00 7:00 8:00 8:00 9:00 9:00 12:00 12:00 15:00 15:00 18:00 21:00 ~.9/2004 18:00 21:00 0:00 From To 0:00 7:00 7:00 7:30 7:30 8:30 8:30 9:00 9:00 9:30 Hours Remarks 3 Drilled, Slid, and Surveyed from 4315' to 4530' MD I 4290' TVD. Mixed and pumped a 20 bbl high viscosity sweep and carbide lag, circulated the same out of the hole. Lag arrived 12 bbls over gauge hole 1 volume. Made a 16 stand short trip to 3050'. Had to work through tight spots at 3974',3783', and 3764' to 3700'. Tripped back in the hole with no 3 tight spots or fill. 1 Circulated and conditioned the hole. 1 3 3 Performed a flow check, well was static. Tripped out of the hole with 5 stands of drill pipe and the hole took proper fill up. Pumped a slug. Tripped out of the hole to the 5" hevi-wate strapping the drill pipe. Layed down the 5"hevi-wate and jars. Layed down the 8-1/2" directional BHA and downloaded the MWD tools. Rigged up Schlumberger. Held PJSM. Ran in the hole with a Platform Express Quad Combo and tagged bottom at 4521' WLM. Logged up from 4521' WLM to the 9-5/8" surface casing shoe at 1507' WLM with the Quad Combo tool. Logged out of the hole with the gamma ray to surface. Layed down the logging tools and rigged down Schlumberger. Changed out the bails, pulled the wear ring and rigged up the Weatherford casing crew. Held PJSM and started running 7" casing 3 3 3 Hours Remarks Ran (111) joints of 7", 26 ppf, L-80, Modified BTC intermediate casing to 4530' MD RKB. Installed the circulating swedge and washed the 7 last joint to bottom, no fill. Broke circulation at 1493' and 3017'. Layed down (2) joints of casing and picked up the casing hanger joint and the landing joint. Landed out the 7" intermediate casing placing 0.5 the shoe at 4521' MD RKB and the float collar at 4438' MD RKB. 1 Rigged up the cementing head and lines. 0.5 Circulated and conditioned the hole. 0.5 Conducted a pre-job safety meeting. Tested the cementing lines to 4000 psi. Star-01 morning report summary_AFE162580 page 4 CONFIDENTIAL: last revised 11/10/2004 9:30 10:30 1 10:30 11:00 0.5 11:00 11:30 0.5 11:30 12:00 0.5 12:00 14:30 2.5 14:30 15:30 1 15:30 16:00 0.5 16:00 16:30 0.5 .6:30 23:00 6.5 3:00 0:00 1 7/20/2004 From To 0:00 4:30 4:30 8:00 8:00 13:00 13:00 15:30 15:30 16:30 16:30 17:30 17:30 19:00 19:00 0:00 .1/2004 From To 0:00 0:00 7/22/2004 From To 0:00 0:00 7/23/2004 Cemented the 7" intermediate casing as follows: 3 bbls of water, 30 bbls of 10.5 ppg Mudpush 11,125 sacks (45 bbls) of Class 'G' lead cement with 1.5% 0-79, 1 % S-02, and 0.2% 0-46 mixed at 12.8 ppg with a yield of 1.97 ft3 per sack followed by 86 sacks (18 bbls) of Class 'G' tail cement with 0.3% 0-65, 0.5% S-02, 0.4% 0-167, and 0.2% 0-46 mixed at 15.8 ppg with a yield of 1.16 ft3 per sack. Kicked out the plug with 5 bbls of water and displaced the cement with 165 bbls of 9.2 ppg mud with the rig pumps and bumped the plug with 1044 psi. Pumped an additional 1.25 bbls with Schlumberger and tested the casing to 3531 psi. The cement was in place at 1020 hrs on 7/19/04. Circulated 5 to 10 bbls of 10.5 ppg Mud Push II to the surface. Tested the casing to 3531 psi for 30 minutes on a chart. Checked the floats by bleeding back 2 bbls of mud, the floats held. Rigged down the cement head and lines. Backed out and layed down the landing joint. RU & install 7" packoff; test to 5000 psi/30 min. RD packoff running tool and lay down long bales. Changed out lower pipe rams to 4". Change out the saver sub on the top drive. Lube the rig. Rig up and test the Hydril and upper rams with 3.5" test joint to 250/3500 PSI. Rig down 3.5" test joint; Pick up the 4" test joint and test BOP's to 250/3500PSI. Rig down the 4" test joint and install the wear ring. Start to pick up the BHA. Hours Remarks 4.5 PU BHA, load sources, surface test tools 3.5 Testing tools; pressure at 2600 psi; Pull to bit and check tools as doing so. Change out Mud Motor and reload sources. 5 PU 91 joints of DP 2.5 Hold PJSM to Displace hole to OBM; Displace; cleaned shakers. 1 Drl out float, shoe, and 20' of new hole to 4550'. 1 Circulate and condition mud for Leak off test. 1.5 Pump Leak off test with Schlumberger. LOT calculates to 15.53 EMW or .807 gradient. 5 Drill from 4550' to 4902'. Hours Remarks 24 Drill & slide as per directional plan. TPIG = 1696 APIG = 58 Hours Remarks 24 Drill and slide as per directional plan. TPIG = 3021' APIG = 57' Star-01 morning report summarLAFE162580 page 5 CONFIDENTIAL: last revised 11/10/2004 From To Hours Remarks 0:00 0:00 24 Drilled/slide as per well plan. TPIG = 4094 APIG = 53 FPH 7/24/2004 From To Hours Remarks 0:00 22:30 22.5 Drill ahead as per well plan. TPIG = 4600 APIG = 46.37 total for bit run #3. 22:30 0:00 1.5 Circulated bottoms up. Swab test well. Circulated hole clean for short trip. 7/25/2004 From .0:00 0:30 4:30 7:30 9:30 17:00 23:00 To 0:30 4:30 7:30 9:30 17:00 23:00 0:00 7/26/2004 From To 0:00 3:00 3:00 4:30 4:30 5:00 5:00 13:00 _.3:00 18:30 8:30 0:00 7/27/2004 From To 0:00 1:00 1:00 3:30 3:30 5:00 5:00 9:00 9:00 9:30 9:30 13:00 Hours Remarks 0.5 Circ and cond hole; pump survey; got SPR's. 4 Pull 5 stands; pump dry job; PoH to shoe at 4521'. 3 Observe well; RIH to bottom. 2 Circ and cond hole; Pump Fiber sweep to gauge hole volume; circ hole clean. 7.5 Pull 1 std; Pump the dry job; PoH breaking each connection. 6 LD & clean all HWDP & BHA. Retrieve source. Download LWD. 1 Clean rig floor; Pull wear ring. Hours Remarks 3 Test BOP's. 1.5 RU Schlumberger; Hold safety meeting for sources; handling eline tools and equipment. 0.5 PU source for tools. 8 RIH w/Platform Express/CMR and log out. LD log tools. 5.5 PU DSIIFMI tool. RIH to bottom, log PoH. LD log tool. 5.5 PU Mechanical SWCT, RIH to bottom. Cut and retrieve cores PoH. Hours Remarks 1 Rig/dn MSWC Tool - rigldn SWS 2.5 Rig/up Wthfd - Hold Safety Meeting 1.5 Run Shoe, FC, LC, & Bakerlock Btm 4 Jts, Stop Rings on 3, Cent's on Btm 5 Jts As/per Well Plan 4 RIH w/3 1/2" tbg Completion 0.5 Rlu Head Pin & Circulate Btms/up 3.5 RIH w/3 1/2" tbg Completion Star-01 morning report summary_AFE162580 page 6 CONFIDENTIAL: last revised 11/10/2004 13:00 14:00 1 14:00 16:30 2.5 16:30 17:30 1 17:30 22:30 5 22:30 0:00 1.5 7/28/2004 From 0:00 0:30 3:00 4:30 -. 5:30 8:30 10:00 11:30 13:00 7/29/2004 From eº:oo 0:30 5:30 6:30 12:00 17:00 20:30 23:00 7/30/2004 Rlu Head Pin & Circulate Btms/up Plu Packer & RIH w/3 1/2" Tbg Completion Rlu Head Pin & Circulate Btms/up Plu Chem Injection Nipple - Test Control Line to 1000 Psi f/5 Min & RIH w/31/2" Tbg & Control Line & Band Same, holding 600 Psi on Line Plu CIW Hanger, Spacelout, & M/u & Test Chem. Inj Line - OK - Land Hanger & Run/in Lock/dn Pins To Hours Remarks 0:30 0.5 Rig/up to Circulate thru Choke to Shaker 3:00 2.5 Circulate Well till cleaned/up - 144 Units of Gas 4:30 1.5 Plu Cmt Head - Noticed launch handle tripped - Brk/out Head & Iy/dn & Re-align dart & cage - Plup & Rig/up to Circulate 5:30 1 Circulate wI Cmt Head, PJSM Cmt Job & Prep to Cmt 8:30 3 10:00 1.5 11:30 1.5 13:00 1.5 0:00 11 To 0:30 5:30 6:30 12:00 17:00 20:30 23:00 0:00 Pump 5 Bbls H20, Press Tst surface lines 5000 Psi - OK - Pump 30 Bbls Mudpush2 wI Rig Pump, Shutldn & Batch 157 Bbls (360 sx) LiteCRETE w/1 % D065 (TIC Dispersant), 0.3% D167 (UniFLAC-S), 0.6% B155 (Retarder), 0.6% D046 (Antifoam Agent) to a Slurry Wt of 12 Ppg, Pump same, Shutldn, Shutlin Cmt Hd, Open Bleed & Wsh Lines - Displace wI 79 Bbls Base Oil from Vac Truck - Bump Plug/CIP @ 07:15 Hrs - Hold 4500 Psi for 30 Min - OK - Bleed/off 1.5 bbls - Floats Held - Some Doubt aslto Volume Pumped when plug bumped. DS's Micro-Motion calc's 74.7 Bbls (4.3bbls short) & DS's Pump Strokes calc'd 82.4 Bbls (3.4 bbls long) Attempt Test Bk/side - Bleeds from 1550 Psi to 1400 Psi in 30 Min (10%) - Adjust Lock/dns wI CIW - Talk to town & Decide to WOC Rig/dn Pollard, Ly/dn Cmt Mnfld, Brk/out Connect's on Cmt Hd, Pull Landing Jt, Set BPV wI CIW - Ly/dn Cmt Head Cleanlup Rig Floor & Rlup to L Y/dn & Clean 4" DP Clean 4" DP & Ly/dn Same out of derrick Hours Remarks 0.5 Clean 4" DP & Ly/dn Same & stage trailers @ 9 mile staging area 5 Clean Pits & Shaker troughs before finishing DP Ly/dn. Clean Pits & Tankage 1 Move Vac System-Hurricane - Tank to East Side of Rig 5.5 Finish cleaning 4" DP & Ly/dn Same along with Tbg Pups 5 Clean Floor Equip & Ly/out Beaver Slide, Cleanlon Pits, Rig/up flange on choke house for flushinglout lines - Ly/dn Hawk-Jaw 3.5 Nippleldn BOPE & Clean thoroughly 2.5 Nipple/up CIW Tree, Test Hngr & Pk/offs 250 I 5000 Psi - OK - 1 Nipplelup Valve Ass'bly, Pull BPV & Install 2-way check - PresslTst 5000 Psi - OK - Pull 2-way check Release Rig to Standby Mode & Rates @ 00:00 Hrs Star-01 morning report 5ummary_AFE162580 page 7 CONFIDENTIAL: last revised 11/10/2004 From To 0:00 1:00 1:00 2:00 2:00 8:30 8:30 9:00 9:00 12:30 Hours Remarks 1 Prep to Brkldn tldrive & rlu to Test Annulus 1 Rlu & Tst Annulus to 1500 Psi - Bled 50 Psilin 30 Min - Good MIT Rldn T/drive, Move Choke House, Ly/dn T/drive, Set Catwalk, Pull Elect & Hyd Lines - Ly/dn Grasshopper & Remove Canrig Gen Set & 6.5 SCR 0.5 Prep Rig Floor for Wireline PJSM - Rlup SWS E-Line Unit - RIH wI SCMT tools & Tag PBTD @ 8972' (68.10 Ft Hi I 0.59 Bbl Under Displacement) POOH & Log 3.5 SCMT - Good Cement & bond to Shoe - Fair Cement to 4200' - free Pipe @ +1- 4200' - POOH & Rldn SWS E-Line Unit 12:30 18:30 6 18:30 20:30 2 .0:30 21:30 1 21:30 0:00 2.5 7/31/2004 From 0:00 0:30 2:00 5:30 7:30 9:30 11:00 -15:00 17:00 17:30 19:30 20:00 21:00 22:30 ~-- 8/1/2004 ~..- Ly/dn Beaver Slide, Put Coil Tbg Stack in Cella ', Spot Units, Set Coil Tbg Head on riser (Hang/off Rig Blocks) Picked up Coil Tubing BOP Stack installed 3-1/8" 5M X 4-1/16" 10M Spool made up same. Layed out mat spotted remaining Schlumberger CT equipment. Made up hard lines to Stack, Pump Unit, Choke manifold, and Frac tank. Made up lubricator connection. Installed CT foam ball RIH top of swab valve filled CT with 22-bbls. fresh water tested pipe rams to Unocal Specification 250-low, 4,500-psi high. Broke connection on lubricator to removed foam ball. Foam ball had came out the end of CT, drained stack and received ball. Finished testing BOPE Blinds, Choke Manifpld.250-low, 4,500-psi high. Started Displacing water out of CT with N2 taking returns in cellar, discharge lines on N2 pump started leaking shu'tdown to fix. . . To Hours Remarks 0:30 0.5 Finishing fixing N2 Lines - Started displacing water out of CT into cellar. 2:00 1.5 Finished displacing water into CT & take Base Oil Returns to NO.2 Frac Tank SIH jetting with 200 scfm N2 RIH to 8958' CTM and set down, increased N2 to 600 scfm PIU to 8940' circulation pressure 2,350-psi wellhead 76-psi. Unloaded 76 Bbls OBM POOH wI Coil Ly/dn Inj Hd - Rigldn BOPs Rigldn CTU & Move trucks Ly/dn Beaver Slide - Remove BOPs - Raise Beaverslide - Rlu SWS E-Line, Press/Tst Lines & Lubricator to 3000 Psi RIH wI 30 Ft 2.5" 6 spf, 60 deg phase Hollow Carrier Guns, Tag Btm @ 8972' WLM, Make 2 passes up look fl fld level - Locate wI SCMT Log & Flag Jt - Shot 6 spf frml 8366' to 8396' @ 16: 19 Hrs - Surface Press Went from 2050 Psi to 2060 Psi in 5 Min - POOH & Close Swab valve - Press @ 2050 Psi Ly/dn Perf Gun (spent) - Rldn SWS E-Line Spot Pollard Slickline, Rlu & Tst Lubricator to 3000 Psi RIH wI 2.8 Gauge Ring - Detect Fluid Level @ 8010', RIH to tI Perfs @ 8366' & POOH & Rldn Slickline Rlu Echometer& show Fluid Level @ 7178 ??? Rlu SWS E-Line wI Howco Fast Drill Retainer - Press Tst Lubricator to 3000 Psi RIH wI Fast Drill Retainer, Tie/in wI SCMT Log & Flag Jt & Set @ 8326' & POOH 5:30 3.5 7:30 2 9:30 2 11:00 1.5 15:00 4 17:00 2 17:30 0.5 19:30 2 20:00 0.5 21:00 1 22:30 1.5 0:00 1.5 Star-01 morning report summary_AFE162580 page 8 CONFIDENTIAL: last revised 11/10/2004 From To Hours Remarks 0:00 0:30 0.5 Finish POOH & Ly/dn Howco Setting Tool 0:30 8:30 8 8:30 9:30 1 9:30 12:30 3 12:30 13:15 0.75 13:15 14:00 0.75 .4:00 19:00 5 9:00 20:30 1.5 20:30 21:30 1 21:30 23:30 2 23:30 0:00 0.5 8/2/2004 PJSM - Plu 28', 2.5", 6SPF, 60 deg Phase, Hollow Carrier Gun, Press/Tst Lubricator to 3000 Psi, RIH, Tie/in Depth to SCMT Log & Flag Jt & Shoot 6HPF frm/8274' to 8302' @ 02:05 Hrs - Surface Pres@ 2066 Psi - Press Remained @ 2066 Psi - POOH & Ly/dn Gun (spent)- Wait 1 Hr & Bleed Press frml 2066 Psi to 10ÒO Psi .& Shut/in 04:06 Hrs .: Press Build 1 Psi/10 Min Avg.- 1019 Psi @ 08:30 Rlup Pollard Slickline & PresslTst Lubricator 3000 Psi ~ RIH wI Shock Absorber, Tandem Elect. BHP Gauges, to 8300' (fluid gradient survey) POOH OOH - Download Data - Good But unable to tie in to encoder into gauges due to laptop does not have program installed (fluid level +- 7700')- Discuss wI Anchorage & decision was to P&A T-67SD Pressure @ 1021 Psi Mix Cement & Load Dump Bailer - Pressure @ 1019 Psi RIH wI 2.5" Dump Bailer w/2 Gal Cmt to Fast Drill BP & Tag @ 8335' SL Meas. - Dump Bailer & POOH (empty), Mx Cmt & fill Bailer, RIH to 8330' SL Meas, Dump Bailer & POOH (empty) - Mx Cmt & fill Bailer, RIH to 8325' SL Meas, Dump Bailer & POOH (empty) - Mx Cmt & fill Bailer, RIH to 8320' SL Meas, Dump Bailer & POOH (empty) - MxCmt & fill Bailer, RIH to 8315' SL Meas, Dump Bailer & POOH (empty- T/Cmt = 8310' SL meas & 8301' E-Line Meas. OOH - Plu 2.8" Gauge Ring, Rlu N2 Unit - PJSM - PresslTest N2 Lines & Lubricator - Open to Well Pressure @ 1011 Psi Pump N2 to Well for Bullheading of fluid - Start Pump @ 500scfm - up rate 1000 SCFM till press @ 1220 Psi - Plu Rate to 1500 SCFM & Press dropped to 1110 Psi for 2 Min & started building again - Pressure built to 4510 Psi @ 21 :15 Hrs - Lowered Rate to 150 SCFM,115 SCFM, 100 SCFM, & 75 SCFM & Press Remained @ 4510 Psi @ 21 :31 Hrs - Shut/in Press @ 4400 Psi - RIH wI 2.8" Gauge Ring to 8295 SL Meas - Pull/up to 7300' SL meas - No Indication of Fluid Level- Make 1 more pass & Pulllup to 7400' SL Meas - Wait 1 Hour & Make 1 more Pass - No Indication of fluid level POOH - Pressure @ 4375 Psi Rldn Pollard Slickline - PJSM & Rlu SWS E-Line Hours Remarks Pu Howco 2.7" Fast Drill BP & Tst Lubricator wI Well (4300 Psi) - Bleed/offwell to 3000 Psi - RIH wI BP, Tie/in to SCMT Log & Flag Jt & Set @ 8234' WLM & POOH, Ly/dn Howco Set Tool. - Plu 20', 2.5",6 SPF, 60 deg Phase, Hollow Carrier Gun, RIH, Tie/in to SCMT Log & 5 Flag Jt & Shoot frm/8090' to 8110' @ 04:54 Hrs. TP = 2019 Psi @ Perf Time (04:54 Hrs) - TP Built to 2418 Psi @ 08:40 hrs - Open Well to Tank, Bled to 1002 Psi @ 09:23 thru 10/64 f/5 min, 12/64 f/5 min, 14/64 f/35 min, & 10/64 f/1 min (RIH wI Guage Ring & Establish FL @ 7150' SL Meas. @ 06:38 Hrs - RIH wI Sample Bailer to BP @ 8234' & Caught Fluid sample) - Well Maintained flow & Press wI 8/64 f/27 min, 9/64 f 10min, 8/64f 10 min - Switch to "T" Pac @ 10:10 Hrs - Maintain flow to "T" Pac thru 8/64 f/10 min, 7/64 f/5 min, 8/64 f/20 min, 7/64 f/5 min - Got Flare @ 10:45 Hrs - Flow to "T" Pac/Flare thru 7/64 f/15 min, 8/64 f/25 min, TP =1008 Psi @ 11 :45 Hrs - Aslper Anch Plan: Bleed Well to 400 Psi Range, Run PresslGradient Survey - Flow Well to "T" Pac/Flare thru 17/64 f/5 min, 20/64 f/10 min, 19/64 f/5 min, 14/64 f/105 min - Well would not die - Shut/in @ 16:00 Hrs - Last Flow TP = 394 Psi thru 14/64. Max Rate = 1.6 MCFD RIH wI Pressure/Temp Survey @ 13:25 Hrs to 8225'- POOH @ 16:00 Hrs - Download Data - Good - Flowd BHP = 738 Psi Temp = 145 deg F - Fld Level Interpretation = RIH 5300' - POOH 5:00 16:00 11 3933' Very Gas Saturated From To 0:00 5:00 . Star-01 morning report summary _AFE 162580 page 9 CONFIDENTIAL: last revised 11/10/2004 From To Hours Remarks 0:00 5:00 5 Wsh & Clean Derrick for Move - TP = 2496 Psi - Csg Press ~ 300 Psi _ Clean Rig - Drwks Roof, MMMP Sheds, Gen Shed, Boiler House, Connex, Outside walls of Pits - Monitor Well - 07:30 Hrs TP = 2524 Psi - Csg Press = 425 Psi - Bleed/off Csg to 100 Psi (Got 2.5 Gal OBM) - @ 11 :00 Hrs TP = 2541 & Csg Press = 350 Psi - Bleed/off Csg to 50 Psi (Got 2 Gal OBM/Air Rlu SWS E-Line Unit - PJSM - Press/Tst Lubricator to 3000 Psi (TP = 2544 Psi) - RIH w/2 1/2' Howco Fast Drill BP, Tielin to SCMT Log & Flag Jt & set BP @ 8050' (40' above T-63 Perfs) @ 17:10 Hrs - POOH & Rldn SWS Install Tree Cap & Electronic Gauge (TP = 2544 Psi) Bledldn Well to RainflRent ISO-Tank - Bled to 0 Psi Secure Well & Rig - Last Crew Departed - Csg Press = 150 Psi 16:00 0:00 8/3/2004 5:00 15:00 10 ~ 18:30 3.5 18:30 23:30 5 23:30 0:00 0.5 8/4/2004 From To 0:00 0:00 8/5/2004 From To 0:00 0:00 ~ From To - 0:00 6:00 6:00 11:30 13:00 15:00 17:30 19:00 11:30 13:00 15:00 17:30 --, 19:00 20:00 Mix Cmt & Load 2.5" Dump Bailer w/2 Gal Cmt, RIH to Fast Drill BP @ 8234', Tag & Dump Bailer & POOH (empty), Mx Cmt & fill Bailer, RIH to 8229', Dump Bailer & POOH (empty), Mx Cmt & fill Bailer, RIH to 8224', Dump Bailer & POOH (empty), Mx Cmt & fill Bailer, RIH to 8219', Dump Bailer & POOH (empty), RIH to 8214', Dump Bailer & POOH (empty), Mx Cmt & fill Bailer & RIH to 8209', Dump Bailer & POOH (empty) Top/Cmt - 8208' - Plu 2.80" Gauge Ring & RIH & Drift Pipe to 8206' (All Clear) POOH & Rldn I Begin move "T" Pac Frm 8 Star to Red Pad I Install Cap & Electronic Gauge on Tree - TP = 2376 Psi @ 24:00 Hrs Hours Remarks -,- 24 Rig on Drywatch Mode - No Crews - 1 Tool Pusher Hours Remarks 24~ig on Drywatch Mode - No Crews - 1 Tool Pusher. Hours Remarks 6 Operations --ª-LJ~pended Move in and spot Coil Tbg. Equipment Held PJSM WISchlumberger on Rig up. Performed Radio and Phone Communication test with Red 5.5 pad. 1.5 RlU Lubricator, Pull Back Press Valve, RID , Well had 150psi. Continue to rig up coil Tbg. 2 Rig up hard line ,Bleeder t~nk, Circ, tank,& all pump lines 2.5 Start Mixing 3% KCL, Fill coil circ to tank test lines. ___ 1.5 Test BOPE, Contact State flBOP test waived by Jim Regg 08:45 - 9/7/04 1 Check All lines Install Night cap Release for the nig~_ Star-01 morning report summary _AFE 162580 page 10 CONFIDENTIAL: last revised 11/10/2004 9/8/2004 From 0:00 7:30 8:00 9:30 11:00 13:30 14:45 --- .-15:00 917:00 17:45 19:00 20:00 20:30 21:30 22:00 23:00 9/9/2004 To Hours Remarks 7:30 7.5 8:00 0.5 Safety Meeting and Procedure Review 9:30 1.5 Mix chemicals, Pull test & Mix and transfer fluids PIU and space out to maximize tool length 11:00 13:30 2.5 14:45 1.25 15:00 0.25 17:00 2 17:45 0.75 19:00 1.25 20:00 1 20:30 0.5 21 :30 1 22:00 0.5 23:00 1 0:00 1.5 M I U BHA Circulate and test run motor Surface volume @ start 471bbls + 50bbls Sweep, Press test3,OOOpsi, Open well 100 psi. Running in hole circ. Down @ .40 bbls per min. 70' per min. Bleed gas to bleeder tank Check waits going in hole, Set depth marker at 5,000' Shut down pumps and tag first plug at 8,046' + 8' RKB 8,054' (mechanical Depth), Digital depth 8,018' + 8' = 8,026' Difference 28',Volume 432 + 50 bbls of sweep loss 39bbls. Fill hole 41 bbls. Milling on plug @ 8,054'(mech) .74 BPM 700psi. WOB 700-500, Rate change .90bbls 1,000psi. 5-800 WOB, Change Rate 1.19 BPM 1500 psi. 8,058 up wt 15,500, DN wt, 7,300 Running in hole Circ, 5 bbl HEC sweep. Tag at 8,172' Wash and Ream F/8, 172' - T/8,227' Drill Cement F/8,227' - T 18,227' Tag plug @ 8234' Drill plug F/8,234' - T/8,234 Wt check 16,700 up wt 6,500 dn wt. Run in hole circ, 5bbl HEC sweep, Tag @ 8,284' Drill cmt. FI 8,299' - T/8,330' Mill on plug #3 F/8,330' - T/8,343' Check Wt Wash F/8,343' - T/8,966 Set down 3,000 Pump sweep dropped ball followed W/10 bbl HES, Circ ball down 31 bbls b bumped press up to 2,500 ball shear. Cool down N2 1 Shut down pumps, Isolate return s Strap tank 85.5 bbls.Start pumping N2 Returns to tank 85 bbls. 34bbls coil + 51 annular = 85 bbls From To Hours Remarks 0:00 .,0:30 1:00 -- 6:00 12:00 19:00 21:30 0:30 1:00 6:00 12:00 19:00 21:30 0:00 0.5 Shut down pumps, Isolate return s Strap tank 85.5 bbls.Start pumping N2 Returns to tank 85 bbls. 34bbls coil + 51 annular = 85 bbls 0.5 Shut down and pressure up to 2500 psi. 5 Pull Out of hole w/coil & Rig down 6 Clear Pad, Spot Test Package, Empty out Coil tank and ship dirty water to G&I 7 Rig upand test package and press test to 4,OOOpsi. 2.5 Start bleeding well down FI 2602 - T 11 ,OOOpsi. @ 1.5 mmcf rate. Unload N2 2.5 Bring well down T/500psi. Tbg. Press. Flow well, Gas @ surface @ 21 :38 21 :30 - 10/64th Choke - 50Otbg. Press. 272 mcf 22:00 - 10/64th choke - 500tbg. Press. 268 mcf 23:00 - 10/64th choke - 500 tbg. Press 251 mcf 24:00 -10.5/64th choke - 500 tbg. Press 272 mcf Star-01 morning report summarLAFE162580 page 11 CONFIDENTIAL: last revised 11/10/2004 9/10/2004 From To 0:00 5:00 5:00 7:00 7:00 11:30 11:30 12:30 12:30 13:30 13:30 15:30 15:30 19:30 .9:30 21:00 21:00 22:00 22:00 23:00 23:00 0:00 9/11/2004 From To 0:00 2:00 2:00 3:30 3:30 4:30 4:30 6:00 6:00 7:00 7:00 9:00 .9:00 10:00 0:00 11:00 11:00 13:00 13:00 16:00 16:00 20:00 20:00 0:00 9/12/2004 Hours Remarks 5 Continue to flow well holding 500psi.Tbg. 01 :00 1 0.5/64ths-51 Opsi tbg. - 269 met, 02:00 10.5/64ths - 508 tbg. Press-284 mcf, 03:00 1 0.5/64th-508 tbg. Press. 288 mcf, 04:00 tbg 2 press495 tbg.press maintained 270000 and 280000 CF W/500 psi on tbg. 4.5 PJSM RlU Sclumberger and test t/3,OOO psi. Run in hole with guns 6 spf 60 deg, phase' e-line stuck. In hole @ 8068' Can't go down or up. Pull max pull allowed by Schlumberger 1 with out pulling out of tool. 2,650 well still flowing. Stuck above all perf. Close well in and work line let well build from 495psi. To 860psi Slacked off tool came back to free weight opened well up and then pulled 1 up into tight spot. Broke free. 2 Pull out of hole W/e-line LID Tools Shut down Return tomorrow. 4 Continue to flow well holding 300psi.Tbg. Flow rate 285k clf 1.5 PJSM WI Pollard RlU Test T/3,000psi. Shut Well in @ 21 :OOhrs. 1 Run in Hole Run #1 - WI 2.75 Gauge ring T/8308' try to work down did not make any footage 1 Pull out of hole WI wireline to run #2- 4-star 2.72 Gauge in hole to 8970' 1 Pull out of hole run #3 - 2.72 Gauge ring in hole T/8970 (no fluid tagged) Hours Remarks 2 Pull out of hole to run #4 31' 2.5 Dummy Guns, RIH to 8970' 1.5 Pull out of hole to run #5 2.8 Gauge ring. Set down at 8311' 1 Pull out of hole to run #6 2.75 Gauge ring. RIH to 8972', POOH, LID Tools, RID Pollard. 1.5 Flow well while waiting on e-line, ETA 06:30 hrs. 1 Held PJSM with Schlumberger crew. RU lubricator and pressure test. RIH with 2.5 6spf 20' guns to 8532'-8552', Tie in with CCl overlay. Fire guns with 1000 psi FTP pressure increasing slowly to 1250 psi. 2 Monitor pressure while POOH. (max increase 240 mcfd) 1 Open choke to maintain 1000 psi FTP. Monitor pressure, pressure slowly decreasing. 1 Open choke to maintain 500 psi FTP to achieve underbalance. RIH with 2.5 6spf 30' guns to 8366'-8396', Tie in with CCl overlay. Fire guns with 500 psi FTP. No change in pressures. Guns stuck will not 2 move up or down. 3 Open valve on choke skid to allow well to flow pass guns while pulling 'with unit in attempt to free guns. no success. Pull free e-line from guns with 3000#, POOH, RD Schlumberger lubricator, Held PJSM, RU Pollard slickline with over-shot, weight bar, and 4 jars. Test lubricator to 3,000 Continue jarring on guns, Guns moved down hole 12', POOH, change rope socket. RIH continue jarring up. Guns moved up hole 110'. (20' 4 was the most movement at one time) Star-01 morning report summary_AFE162580 page 12 CONFIDENTIAL: last revised 11/10/2004 From To Hours Remarks 0:00 6:00 6 Continue jarring and working fish at 8258' Attempt to jar down to shear tool to come out of the hole and cut wire. Jarred down and fish fell free down to 8917', Pull fish back up to 8258', fish would not pass. Jar down to release tool and fish fell back to 8917', fish stuck on bottom, Continue jarring down to release tool. 6:00 10:00 4 The overshot will not release. Continue jarring while waiting on cutter bar and equipment to rig up braided line. 10:00 12:00 13:00 15:30 16:30 ~8:30 22:30 . 12:00 2 13:00 1 15:30 2.5 16:30 1 18:30 2 22:30 4 0:00 1.5 Drop cutter bar and cut slick at top of tools. POOH, with line all line recovered. Cut line, lay down lubricator, and made up new tool string. RIH with G,PC 2.5 to 8963' latch and pull cutter bar. (no problems) RIH with 2.81 GR sat down at 8309' Hit down half dozen licks without success. Jarred up several times to get up. POOH. RIH after changing oil jars with 2.80 star bit and tag top of fish. (Never saw anything going in hole) POOH RIH with 2.82 GR sat down at 8309', worked tools hitting down. Made 2' to 8311' and fell through. RIH to 8897'. POOH, saw extra weight at 8309', Worked GR up & down through tight spot until it went away. POOH, never saw any other tight spots. RD slick line tool and lubricator. RU braided line, Redress grease head, and change tubes. PU Schlumberger and Pollard Lubricator 84' total counting Bops and pump in sub. Schlumberger fish 38', Pollard fish 22'. Attempt to test lubricator had leak, fix leak, test lubricator to 3,000 psi. RIH with RS 2,21/8" stem, 2 1/8" oil jars, spangs, and 2 1/2" GAC. Check pu wt at 8500' 1250#. Latched fish, pulled up 2500# set brake and waited. No movement. Note: Schlumberger guns and Pollard fishing tools left in hole. Top of fish at 8897' RKB Star-01 morning report summary_AFE162580 page 13 CONFIDENTIAL: last revised 11/10/2004 Unocal Alaska 909 W. 9th Avenue Anchorage, AK 99501 Tele: (907) 263-7889 Fax: (907) 263-7828 E-mail: oudeand@unoca1.com . c::2£;~---"lf 7 . UNOCALfØ REceIVED AUG 31 2004 Alaska Oil & Gas ~, . ii, \.;Qfí""I/¡/lIìlìS81Of' ",nchoraQt. Date: August 30, 2004 Debra Oudean G & G Technician To: AOGCC Helen Warman 333 W. ib Ave. Ste#100 Anchorage, AK 99501 STAR 1 ¡6.~??~BºRE~OL~~~~If\ID_ ,,"'~~~,~__,__,., ,.,., ~~~~:~~~~;~~~I~;~~~~~~~I:~~~~_:~~,." [MULTIPLE PROPAGATION RESISTIVITY NEUTRON, IDENSITY GAMMA RAY RWD - TVD - _r.__.._··_·..__ ¡2INCH , '~~1~5IN~~~~~~ i/2/5INCH 8/11/2004i4510-8910 1 0 1 ~7/24ï2004¡[O~9Ùi9 -'--'~¡-11--1r-1 DATA I " _~~_,,~~__J___~L___J_mig~~~~ED .. L"24ii004IO.9'29 'I 'I 1 I Date: gþ/o0 . Debra Oudean G & G Technician To: AOGCC Helen Warman 333 W. 7th Ave. Ste#100 Anchorage, AK 99501 Well samples: ~fi L~:·,'.·. _~~.. .'., '_i .,.,..,~~_~0-22~0 ...: L_______J~___Jl__??~º~~~_1 0 _ l_.___.~,__",_..l".. 44.1º:-~~~º. L__._.~~._~_JL_, _~_~~~.º~7330__ L.._. ...,?__~J._.r.3~-º~~.9º_ L 6 II. 8390-9110 Unocal Alaska 909 W. 9th Avenue Anchorage, AK 99501 Tele: (907) 263-7889 Fax: (907) 263-7828 E-mail: oudeand@unoca1.com UNOCALi> STAR 1 . Date: August 30, 2004 Ä f:J v{ - 11 7 5~J~..!J-- Ii- ! / J;l Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to (907) 263-7828. Rece;ved By JL~ {)jjJ Date: J I (J-Vv{-lh'iJ tf r:'/~ . fIT!: þ fE\'- f'¿\ ~ r«. JU.J Lrj -=:J rIJ 0 L U . "'I¡ASIiA OILAlWD GAS CONSERVATION COMMISSION FRANK H. MURKOWSKI, GOVERNOR Phillip J. Krueger Drilling Manager Union Oil of California (Unocal) P.O. Box 196247 Anchorage, Alaska 99519 Re: Star #1 Union Oil of California (Unocal) Permit No: 204-117 Surface Location: 1357' FSL, 405' FWL, SEC. 24, T3S, R14W, SM Bottomhole Location: 1128' FSL, 1914' FEL, SEe. 23, T3S, R14W, SM 333 W. 7'" AVENUE. SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Dear Mr. Krueger: Enclosed is the approved application for permit to drill the above referenced exploration well. This permit to drill does not exempt you from obtaining additional permits or approvals required by law from other governmental agencies, and does not authorize conducting drilling operations until all other required permits and approvals have been issued. In addition, the Commission reserves the right to withdraw the permit in the event it was erroneously issued. A weekly status report is required from the time the well is spudded until it is suspended or plugged and abandoned. The report should be a generalized synopsis of the week's activities and is exclusively for the Commission's internal use. All dry ditch sample sets submitted to the Commission must be in no greater than 30' sample intervals from below the permafrost or from where samples are first caught and 10' sample intervals through target zones. Operations must be conducted in accordance with AS 31.05 and Title 20, Chapter 25 of the Alaska Administrative Code unless the Commission specifically authorizes a variance. Failure to comply with an applicable provision of AS 31.05, Title 20, Chapter 25 of the Alaska Administrative Code, or a Commission order, or the terms and conditions of this permit may result in the revocation or suspension of the permit. Please provide at least twenty-four (24) hours notice for a representative of the Commission to witness any required test. Contact the Commission's petroleum field inspector at (907) 659-3607 (pager). BY ORDER OF THE COMMISSION DATED this/~1"" day of July, 2004 cc: Department ofFish & Game, Habitat Section w/o encI. Department of Environmental Conservation wlo encI. · Unocal Corporation . P.O. Box 196247 Anchorage. AK 99501 Telephone (907) 263-7660 UNOCALe ¡ iN q n ·¡"l"\04 ",.,. ,y ..' ....) Phil Krueger Drilling Manager Tuesday, June 30, 2004 Alaska Oil and Gas Conservation Commission 333 West th Avenue Anchorage, Alaska 99501 Attn: Commission Chair John Norman Re: Application for Permit to Drill (Form 10-401) Star #1 - Exploration Well (" Dear Commissioner Norman, Attached for your approval is an application for permit to drill (Form 10-401) for the Star #1 exploration well. This will be an exploratory project in the Deep Creek Unit/Excess mud and cuttings will be hauled to the NNA #1 well and disposed into the annulus of that well. A waiver will be requested for well bore surveys in the 12 X" hole section and for using a diverter line smaller than the specified 16" minimum. The planned spud date is July th, 2004 and the contracted rig will be Nabors Rig #129/ If you have any questions please contact myself at 263-7628 or Mr. Rob Stinson at 263- 7804. Sincerely, ~ £II~~ T Phil Krueger Drilling Manager u¡-<¡GII~AL 1a. Type of Work: . STATE OF ALASKA I ALASKA OIL AND GAS CONSERVATION COM ISSION PERMIT TO DRILL 20 MC 25.005 /", Co 1b. Current Well Class: Exploratory G:J Development Oil LJ,MlJl~iple Zone U Stratigraphic Test 0 Service 0 Development Gas '0 Single Zone 0 5. Bond: Blanket G:J Single Well U 11. Well Name and Number: Bond No. U 62-9269 Star #1 6. Proposed Depth: / 12. Field/Pool(s): MD: 9,720' TVD: 9,200' n/a 7. Property Designation: Deep Creek Unit 8. Land Use Permit: Drill 0 Redrill U Re-entry 0 2. Operator Name: Union Oil of Californuia (Unocal) 3. Address: P.O. Box 196247 Anchorage, AK 99519 4a. Location of Well (Governmental Section): Surface: 1357' FSL, 405' FWL, Sec. 24, T3S, R14W, SM Top of Productive Horizon: 1771' FSL, 1184' FEL, Sec. 23, T3S, R14W, SM Total Depth: 1128' FSL, 1914' FEL, Sec. 23, T3S, R14W, SM 4b. Location of Well (State Base Plane Coordinates): Surface:x- 202728 y- 2158848 Zone- 16. Deviated wells: Kickoff depth: Maximum Hole Angle: 18. Casing Program: Size Casing 16" 9-5/8" Hole n/a 12-1/4" 8-1/2" 6-1/8" 7" 3-1/2" 19. Total Depth MD (ft): Casing Structural Conductor Surface Intermediate Production Liner Perforation Depth MD (ft): 4 2000 feet 30 degrees Specifications Weight Grade Coupling Length Welded 50' 40 ppf L-80 BTC 1483' 26 ppf L-80 BTC-mod 4483' 9.2 ppf L-80 IBTC-mod 9703' \tJ6A- ~ /301 ZÐOf 't->"'i-· Š,.,..,. \ i U\\ ~l n/a Date: 9. Acres in Property: 14. Distanc 640 Property: 3852 ft 10. KB Elevation 15. Distance to Nearest Well (Height above GL): 481' MSL feet Within Pool: n/a 17. Maximum Anticipated Pressures in psig (see 20.i\AC-25¡.035) Downhole: 3984 Surface: é306!;)/ Setting Depth _..~/ Quantity of Cement Bottom c.f. or sacks MD TVD (including stage data) 67' 67' n/a " 1500' . 1500' (' 664 cu ft 4500' 4258' / 346 cu ft 9720' / 9200' /" 1081 cu ft Top MD Surf. Surf. Surf. Surf. TVD Surf. Surf. Surf. Surf. PRESENT WELL CONDITION SUMMARY (To be completed for Redrill and Re-Entry Operations) Total Depth TVD (ft): Plugs (measured): Effect. Depth MD (ft): Effect. Depth TVD (ft): Philip J. Krueger Form 10-401 Revised 12/2003 Length Size Junk (measured): Cement Volume rvD MD Perforation Depth TVD (ft): Time v. Depth Plot U Shallow Hazard Analysis ~ Drilling Fluid Program 0 20 MC 25.050 requirements 0 Date Contact Filing Fee ~ BOP Sketch ~ Property Plat 0 Diverter Sketch 0 21. Verbal Approval: Commission Representative: 22. I hereby certify that the foregoing is true and correct to the best of my knowledge. ~,( Áy -.. Phone (907)-263-7628 / /- ( Commission Use Only Permit to Drill IAPI Number: Ipermit Approv~1 / / Number: ZO«' - //? 50- 23/- Z OCJ2 7" Date: 7/, / I f Conditions of approval: T-e !:. t is 0 P E To '3 $'Ot¿j s. (' . Samples required Yes ~ No 0 Mud log required Yes ~ No 0 f) ~Ydroge_sulfide m s reJ> .) I ~s ,0 1:'0" Dïr.ÿction, al surve~reqYiredJi;' I Yes 'K, N~ 0 Other: J:'e.r ÛJ Al-t~~ (2 ,It.l[er-t(..,,-Ce. d~'F'<"~ (¡AAf:. ~U<-f~~t'?r ¡ ~ t:i¡Jproi/ed, Pi~' 2t>/tAcCfÄi4< . J tLlte-ýkA.te. We{ r.2-f:?'bRd~;;r (/yr)" <M I Ç. ¥pfCved. Approved by: THE COMMISSION Date: 7 /t / /) ~ 20. Attachments: Printed Name Signature Drilling Program ~ Seabed Report 0 Title Drilling Manager Date bpO~cr.1 Isee cover letter for other requirements. ORIGiNAL Submit inDuplicate . . Table of Contents 1. 10-401 Permit to Drill 2. Waiver Requests 3. Outline Summary 4. Star #1 Schematic 5. Directional Profile 6. Plat Map 7. MASP Cales 8. Casing Design Cales 9. 11 5M BOP Stack Drawing 10. Shallow Hazard Discussion 11. Cement Program 12. Mud Program . . Waiver Requests Unocal respectfully requests waiver to; (1.) AOGCC regulations 20 MC 25.035 (c)(1) (A) and (B) WAIVER #1: / Unocal requests permission to drill the 12-1/4" surface hole to a depth of +/- 1,500' MD / 1,500' TVD witlJ a diverter, fitted with a 12" diverter outlet and line. / AOGCC regulations 20 MC 25.035 (c)(1) (A) and (B) stipulate: (1) the diverter system must consist of a remotely operated pack-off device, a full opening vent line valve, and a diverter vent line with a diameter (A) (B) of at least 16 inches, unless a smaller diameter is approved by the commission to account for smaller hole size, geological conditions, rig layout, or surface facility constraint; and at least as large as the diameter of the hole to be drilled, unless a pilot hole with a diameter no larger than that of the vent line is drilled first; the commission will waive the requirement of this paragraph if the operator demonstrates, based on drilling experience in the near vicinity, that drilling a pilot hole will not be necessary for safety; Unocal has scrutinized the two closest offset wells and recent seismic in an attached shallow hazard analysis and believes that there is little risk of any ~ shallow gas down to well below the planned surface casing depth. These two offset wells are the NFU #11-4 and NFU #41-35. The first seismic amplitudes show up in the 2,400' TVD to 2,600' TVD depth range. WAIVER #2: / Unocal requests permission to drill the 12 %" surface hole to +/-1,500' without surveying until after the 9 5/8" casing is cemented. AOGCC regulation 20 MC 25.050 (h) stipulates: (h) "Upon application, the commission will, in its discretion, waive all or part of the directional survey requirements of this section or approve alternate means for determining the location of a wellbore if the variance at least equally ensures accurate surveying of the wellbore to prevent well intersection, to comply with spacing requirements, and to ensure protection of correlative rights. " Due to plans to drill the 12 %" surface hole vertically to 1 ,500', there is no cost- effective means to survey once each 500' as required in regulation 25.050 . . (C)(1). Unocal will obtain the required surveys at the first opportunity after cementing the 9 5/8" casing, before drilling the 8 %" hole, to ensure accuracy of the final BHL. . . Outline Summary 1. Move in and rig up Nabors ~Jon Star #1. 16" 5/8" w. t. conductor will be , driven prior to rig-up and 1 ~ S~iP on wellhead adapter will be installed. ./ 2. Nipple up 13 5/8" diverter wi 12" diverter line and test. AOGCC to be notified /' prior to test for possible witness. 3. Mix KCL spud mud. 4. Drill 12 %" surface hole vertically to 1 ,500' MD I 1,500' TVD. / 5. Run and cement 9 5/8" 40# L-80 BTC surface casing to 1,500' MD I 1 ,500' TV~' Pressure test 9 5/8" to 3,000 psi after bumping the plug. 6. Nipple down diverter. 7. Nipple up 11" 5M BOP stack wi 2 7/8" x 5" VBRs on top, blinds in middle and 7" pipe rams on bottom. Test BOPs wi AOGCC notification for witness. /' 8. Run gyro. 9. After drilling at least 20' of new hole, but no more than 50', perform Leak off Test // as per Unocal standard LOT procedure. 10. Drill 8 %" vertical hole wi KCL mud system to 4,500' MD I 4,258' TVD. / 11. Log 8 %" wi quad combo, pull GR to surface. 12. Run and cement 7" 26# L-8Q~~!2,'8' intermediate casing to 4,500' MD I 4,258;/ TVD. Pressure test 9 5/8" tC::~(JSi after bumping the plug. 13. Change bottom BOP rams to 4" and test. 14. Change over mud to Oil Based Mud before drilling out shoe track. // 15. After drilling at least 20 ' of new hole, but no more than 50', perform Leak off Test as per Unocal standard LOT procedure. 16. Directionally drill 6 1/8" hole to 9,720' MD I 9,200' TVD. / 17. Log 6 1/8" hole wi quad combo. 18. Run 3 %" 9.2# L-80 IBTC tubing string to 9,720' MD I 9,200' TVD. An in-line ZX / packer will be set in the 7" intermediate casing to seal off the 3 %" x 7" annulus. ' A methanol injection mandrel will be set around 2,500'. 19. Test 3 %" completion to 4,500 psi. / 20. Test 7" x 3 %" annulus to 1 ,500 psi. . . 21. Install BPV. Nipple down 11" BOP stack. 22. Nipple up 3 1/8" production tree and test. 23. Remove BPV and commence with production testing the well. / 16" 5/8" W.t 9 5/8" 40# L-80 BTC 12;4" Hole 7" 26# L-80 BTC mod. 8 Yz" Hole Jewelry 1 - BOT Methanol Injection Nipple 2500' MD 2 - BOT ZX Packer 4,000' MD 3 Yz" 92:# L-80 IBTC Mod 6 1/8" Hole r 1- oration 1 "" 2 80' MD (80' TVD) 1500' MD (1500' TVD) Planned TOC @ 2500' 4500' MD (4258' TVD) Formation Tops Beluga - Surface Tyonek 5536' MD (5181' TVD) 480' RKB - Nabors 129 9720' MD (9200' TVD) UNOCALe Well bore _Name __~ ~tar #J Vers#4 _ Well Name Star #1 Slot Name Star #1 Installation _~ame StaL Field Name Exploration . UNOCAL ,Star #1 Star, Exploration,Kenai Peninsula, Alaska(lmported) ,----------" ___Ü::reated ., ___ 2j -Jl!D.:Z004 I Govemment ID Grid Northina 2158848.0000 I Grid Eastina ! 202728.0000 I latitude N59 53 58.4121 I Eastina 202806,0000 I Northirn:L I. 2158ª11.0000 I Eastina 353215.2460 I Northina 2487491.3740 41- [Comments ~-, . PROPOSAL LISTING Page 1 Well bore: Star #1 Vers#4 Well path: Star #1 Vers#4 Date Printed: 29-Jun-2004 _.~~ _~J,.asj Revised~. 29-JlJn:200~ ----,'--- ---_..----,., ---,,'.,-.-.------- Last Revised 21-Jun-2004 I Lonaitude I W151 378.8063 I North 35.08N IIi. SAKlR HUGHIS INTEQ lEast 78.88W i I Coord System Name__ I North AlÍQnment I AK-4 on NORTH AMERIC8N DATlLM 19Z~._.~I~ -- - J Coord System Name North Alianment I AK-4 on NORTH AMERICAN DATUM 1927 datu True ~~--~ All data is in Feet unless otherwise stated Coordinates are from Slot MD's are from Rig and TVD's are from Rig ( Datum #1 480.0ft above mean sea level) Vertical Section is from O.OON O.OOE on azimuth 282.15 degrees Bottom hole distance is 2339.08 Feet on azimuth 262.65 degrees from Wellhead Calculation method uses Minimum Curvature method Prepared by Baker Hughes Incorporated . . UNOCALe UNOCAL ,Star #1 Star, Exploration,Kenai Peninsula, Alaska(lmported) PROPOSAL LISTING Page 2 Wellbore: Star #1 Vers#4 Well path: Star #1 Vers#4 Date Printed: 29-Jun-2004 IIi. BAKER HUGHES INTEQ Wellpath Report MD[ft] Inc[deg] Azi[deg] TVD[ft] Vertical North [ft] East[ft] Station Station ' Dogleg: Vertical Station Comment Depth SS Position(Grid Position(Grid . [deg/1 0 i Section[f North) East) ! Oft] : tl 0.00 0.00 0.00 0.00 -480.00 O.OON O.OOE 2158848.00 202728.00 0.00 0.00 Tie on 100.0Q.._ 0.00 0.00 100.00__ -380.00 O.OOf',l O.OOE 2158848.00 202728.00 ..0,0.0 0.00 200.00 0.00 0.00 200.00 -280.00 O.OON O.OOE 2158848.00 202728.00 0.00 OßO 300.00 0.00 0.00 300.00 -180.00 O.OON O.OOE 2158848.00 202728.00 0.00 0.00 --.AQ.Q.OO 0.00 0..00 400.QQ. . -80.00 Q,.QON O.OOE 2158848.00 202728.00...0.00 0.00 500.00 0.00 0.00 500.00 20.00 O.OON O.OOE 2158848.00 202728.00 i 0.00 0.00 600.00 0.00 0.00 600.00 120.00 O.OON O.OOE 2158848.00 202728.00 ! 0.00 0.00 700.00 0.00 0.00 700.00 220.00 O.OON O.OOE 2158848.00 202728.00 ! 0.00 0.00 800.00 0.00 0.00 800.00 320.00 O.OON O.OOE 2158848.00 202728.00 ! 0.00 0.00 900.00 0.00 0.00 900.00 420.00 O.OON O.OOE 2158848.00 20~LZ.8.,.Qo_ i 0.00 0.00 1000.00 0.00 0.00 1000.00 520.00 O.OON O.OOE 2158848.00 202728.00 0,00 0.00 _ttOO.OO 0.00 0.00 1100.00 620.00 O.OON O.OOE 2158848.00 20112.!LoO 0.00 0.00 1200.00 0.00 0.00 1200.00 720.00 O.OON O.OOE 2158848.00 20~Z2MO 0.00 0.00 1300,00 0.00 0.00 1300.00 820.00 O.OON O.OOE 2158848.00 202728.00 0.00 __0.00 140Q,00 0.00 0.00 1400.0Q 920.00 O.OON O.OOE 2158848.00 202728.00 0.00 _ _0.00 I -_._-~ ....fi00.00 0.00 OßO 1500.00 1020.00 O.OON O.OOE 2158848.00 202728.00 O,OO.J 0.00 9 5/8" CasinQ Pt., 9 5/8" Casinº--._...~ 1600.00 0.00 0.00 1600.00 1120.00 O.OON O.OOE 2158848.00 202728.00 0.00 i 0,00 : 1700"00 0.00 0.00 1700.00 1220.00 O.OQN O.OOE 2158848.00 202728.00 0.00 _..Q,OO M-l 1800.00 0.00 0.00 1800.00 1320.00 O.OON O.OOE 2158848.00 202728.00 0.00 0.00 1900,00 0.00 0.00 1900.00 1420.00 O.OON O.OOE 2158848.00 20272ª,Qo:_O,OO 0.00 ".__.....J 2000.00 0.00 0.00 2000.00 1520.00 O.OON O.OOE 2158848.00 202728.00 0.00 0.00 KOP, 3DS Kick off Point 2100.00 3.00 287.42 2099.95 1619.95 0.78N 2.50W 2158848.84 202725.52 3.00 2.61 2200.00 6.00 287.42 2199.64 1719.63 3.13N 9.98W 2158851.38 202718.10 3.00 10.42 2300.00 9.00 287.42 i 2298.77 1818.77 7.04N 22.43W 2158855.59 202705.74 3.00 23.41 2400.00 12.00 287.42 2397.08 1917.08 12..49N 39.82W 2158861.46 202688.50 ~j)0 41.56 2500.00 15.00 287.42 2494.31 2014.31 19.48N 62.09W 2158869.00 202666.40 3.00 64.80 2600.00 18.00 287.42 2590.18 2110.18 27.99N 89.19W 2158878.16 202639.52 3.00 93.08 2700.00 21.00 2.87.42 2684.43 2204.43 37.98N 121.03W 2158888.93 202607.93 3.00 , 126.32 2800.00 24.00 287.42 2776,81 2296.81 49.44N 157.54W 2158901.27 2025I.1I1 I 3.00 164.42 2900.00 27.00 287.42 2867.06 2387.06 62.32N 198.61W 2158915.16 202530.97 3.00.. i 207.28 2989.29 29.68 287.42 2945.64 2465.63 75.02f',1. 239.05W 21.!:i8jJ28.84 202490.86 3.00 249.48 EOC, End of BuildfTum _~OOO.OO 29.68 287.42 2954.94 2474.94 76.60N ~14.11W 2158930.55 202485.84 0.00 254.76 _~~_._'M_"~_ 3100.00 29.68 287.42 3041.82 2561.82 91.43N 291.35W 2158946.52 202438.97 0.00 304.07 3200.00 29.68 287.42 3128.70 2648.70 106.25N 338.60W 2158962.50 202392.10 0.00 353.37 3300.00 29.68 287.42 3215.58 2735.58 j,21.08N 385.84W 2158978.47 202345.24 0.00 402.68 ...._---", 3400.00 29.68 287.42 3302.47 2822.46 135.90N 433.08W 2158994.45 202298.37 : 0.00 451.98 3500.00 29.68 287.42 I 3389.35 2909.35 150.72N 480.32W 2159010.42 202251.51 i 0.00 501.28 3600.00 29.68 287.42 i 3476.23 2996.23 165.55N 527.57W 2159026.40 202204.64 0.00 550.59 3700.00 29.68 287.42 3563.11 3083.11 180.37N 574.81W 2159042.37 202157.77 0.00 599.89 3800.00 29.68 287.42 3649.99 3169.99 195.20N 622.05W 2159058.35 201j1Q·91 0.00 649.20 ~_._~.._._~- 3900.00 29.68 287.42 i 3736.87 3256.87 210.02N 669.29W 2159074.32 202064.04 0.00 698.50 4000.00 29.68 287.42 3823.75 3343.75 224.85N 716.53W 2159090.29 202017.18 0.00 747.81 4100.00 29.68 28.1.42 3910.64 3430.64 239.67N 763.78W 2159106.27 201970.31 0.00 797.11 4200.00 29.68 287.42 3997.52 3517.52 ~4.49N 811.02W 2159122.24 201923.44 0.00 846.41 4300.00 2ª,68 287.42 4084.40 3604.40 269.32N 858.26W 2159138.22 201876.58 0.00, 895.72 4400.00 29.68 287.42 4171.28". 3691 .28 284.14N 905.51W 2159154.19 201829.71 MO 945.02 4500.00 29.68 287.42 4258. H¡ 3778.16 298.97N 952.75W 2159170.17 201782.85 0.00 i 994.33 7" CasinQ Pt., 7" CasinQ 4600.00 29~68 287.42 4345.04 3865.04 313.79!'1 999.99W 2159186.14 201735.98 0.Ô()Tlo.1~.63 4700.00 29.68 , 287.42 4431.93 3951.92 328.61N 1047.23W 2159202.12 201689.11 0.00 11092.94 ~.OO.OO 29.68 287.42 4518.81 4038.81 343.44N L1094.48W 21;>.9218.09 201642.25 0.00 11142.24 All data is in Feet unless otherwise stated Coordinates are from Slot MD's are from Rig and TVD's are from Rig ( Datum #1 480.0ft above mean sea level) Vertical Section is from O.OON O.OOE on azimuth 282.15 degrees Bottom hole distance is 2339.08 Feet on azimuth 262.65 degrees from Wellhead Calculation method uses Minimum Curvature method Prepared by Baker Hughes Incorporated . UNOCALe UNOCAL ,Star #1 Star, Exploration,Kenai Peninsula, Alaska(lmported) Wellpath Report MD[ft] Inc[deg] ! Azi[deg] I ! 4900.00 ~:}4.31 5000.00 5100.00 ~~QO.OO 5300.00 5400.00 5500.00 5600.00 5700.00 5800.00 5900.00 6000.00 ----º-1illLOO 6186.45 6200.00 --º.300.00 6400.00 --º.500.00 6600.00 6700.00 6800.00 6900.00 7000.00 7100.00 7200.00 7300.00 7400.00 7500.00 -.l6QO.OO 770QJJO 7800.01>- 7900.00 8000.00 8100.00 8200.00 8300.00 8400.00 8500.00 8600.00 8700.00 8800.00 _1I900.0Q_ 9000.00 9100.00 9200.Q9 9300.0,º- 9400.00 .9500.00. TVD[ft] Vertical Depth SS 29.68 29.68 28.59 26.98 25.41 23.91 22.48 21.13 19.90 18.78 17.82 17.03 16.44 16.08 15.95 , 287.42 287.42 285.90 283.37 .L 280.54.", I 277.38 i 273.83 269.85 265.36 260.34 254.76 .. 248.61 241.97 234.94 228.69 4125.69 4155.50 4212.87 4301.34 4;391.07 4481.95 4573.87 4666.72 4760.38 4854.74 4949.69 504~"11 5140.88 5236.69 5320.00 4605.69 4635.50 4692.88 4781.34 4871.07 4961.95 5053.87 5146.72 5240.38 5334.74 5429.69 5525.11 5620.88 5716.89 5800.00 15"95 228.6.9 5813.02 5333.02 15.95 228.69 5909.17 5429.17 15.95 228.69 6005.32 5525.32 15.95 228.69 6101.47 5621.47 15.95 228.69 6197.62 5717.62 15.95 228.69 6293.77 5813.77 15.95 228.69 6389.92 5909.92 15.95 228.69 6486.07 6006.07 15.95 228.69 6582.22 6102.22 15.95 228.69' 6678.37 6198.37 15.95 228.69 6774.52 6294.52 15.95 228.69 6870.67 6390J¡7 15.95 228.69 6966.81 6486.81 15.95 228.69 7062.96 6582.96 15.95 228.69 7159.11 6679.11 15.95~·i 228.69 7255.26 6775.26 15.95 228.69 1_351.41 6871.41 15.95 228.69 7447.56 6967.56 15.95 228.69 7543.71 7063.71 15.95 228.69 7639.86 7159.86 15.95 228.69 7736.01 7256.01 15.95 228.69 7832.16 7352.16 15.95 228.69 7928.31 7448.31 15.95 .~28.69 8Q24.46 7544.46 15.95 228.69 8120.60 7640.60 15.95 228.69 8216.75 77:?>.6.75 15.95 228.698312.90 78;3_2.90 15.95 2.28.69! &,409.05 7929.05 15.95 228.69! 8505.20 8025.20 15.95 228.69 18601.35 8121.35 15.95 ! 228.69 8697.50 8217.50 15.95 228.69 J\793.65 8.313.65 15.95 228.69 8889.80 8409.80 15.95 .228.69 .8985.95 8505.95 3;39.78N 1592.64W 321,63N 1613.28W 303.49N 1633.93W 21!5.35N 1654.57W 267.21N 1675.22W 249.07N 1695.86W 230.92N 1716.50W 212.78N 1737.15W 194.64N i 1757.79W 176.50N 1778.44W 158.35N 1799.08W 140.21N 1819.72W 122.07N 1840.37W 103.93N 18~1.01W 85.78N 1881.66W 67.64N 1902.30W 49.50N 1922.94W 31.36N 1943.59W 13.21N 1.964.23W 4.93S 1984.88W 23.07S 2005.52W 41.22S 2026.16W 59.36S 2046.81W 77 .50S 2067.45VV 95.64S 2088.10W 113.79S 2108.74W 131..93S 2129.38W 150.07S 2150.03W 168.21S 2170.67W 186.36S 2191.32W 20'l50S 2211.96W 222~64S 2232.60W 240.78S 2253.25W 258~93S 2273.89W 2159226.61 2159208.98 2159191.35 21591D.71 2159156.08 2159138.45 2159120.82 2159103.18 2159085.55 2159067.92 2159050.29 2159032.66 2159015.02 2158997.39 2158979.76 2158962.13 2158944.49 2158926.86 2158909.23 2158891.60 2158873.96 2158856.33 2158838.70 2158821.Q7 2158803.43 2158785.80 2158768.1.7 2158750.54 2158732.90 2158715.27 21586QI.64 2158680.01 2158662.37 2158644J4 . PROPOSAL LISTING Page 3 Wellbore: Star #1 Vers#4 Wellpath: Star #1 Vers#4 Date Printed: 29-Jun-2004 201144.14 0.00 201123.06 0.00 201101.98 0.00 201080.90 0.00 201059.82 0.00 201038.74 0.00 201017.66 0.00 200996.58 i 0.00 200975.49 0.00 200954.41 0.00 200933.33 0.00 200912.25 0.00 200891.17 0.00 200870.09 0.00 200849.01 0.00 200827.92 0.00 200806.84 0.00 200785.76 0.00 20076,4J¡8 0.00 200743.60 0.00 200722.52 0.00 200701.44 0.00 200680.36 0.00 200659.27 0.00 200638.19 0.00 200617.11 0.00 200596.03 0.00 200574.95 0.00 200553.87 ....0.00 200532.79 ' 0.00 200511.71 O.OQ 200490.62! 0.00 200469.54 ! 0.00 200448.46! 0~00 ,~-~~---~~ All data is in Feet unless otherwise stated Coordinates are from Slot MD's are from Rig and TVD's are from Rig ( Datum #1 480.0ft above mean sea level) Vertical Section is from O.OON O.OOE on azimuth 282.15 degrees Bottom hole distance is 2339.08 Feet on azimuth 262.65 degrees from Wellhead Calculation method uses Minimum Curvature method Prepared by Baker Hughes Incorporated North[ft] [' East[ft] Station Station I Dogleg I Vertical Station Comment Position(Grid Position(Grid! [deg/10i Section[f North) East) : Oft] , tl 358.26N 1141.72W 2159234.07 201595.38 i 0.00 1191.54 I 363.35N 1157.93W 21592:}9.55 201579.30 I 0.00 1208.46 BeQjn.Q[QpLI!.Irn, End of Holc:L~ 37.2.52N 1188.56W 2159249.47 201548.90 !~:2~.Oo 1240.34 _____._...~ 384.32N 1233.65W 2159262.37 201504.11 2.00 1286.90 393.50N 1276.82W 2159272~59 201461.18! 2.00 ,.J331.04 400.03N 1318.02W 2159280.13 201420.16 2.00 i 1372.69 403.91N 1357.19W 2159284.97 201381.09 2.00 1411.80 405.14N 1394.30W 2159287.10 201344.02 2.00 1448.33 403.71N 1429.29W 2159286.54 201309.01 2.00 1482.24 399.64N 1462.12W 2159283.26 201276.09 2.00 1513.48 392.92N 1492.76W 2159277.29 201245.30 2.00 1542.02 383.551\1 1521.16W 2159268.62 2.01216.67 2.00 1567.81,...~._ 371.56N 1547.29W 2159257.28 2.01190.26 2.00 1590.83 356.95N 1571.12W 2.159243.26 2011.9Q.OJ! 2.00 1611.05 342.24N 1589.84W 2159229.00 201147.00 2.00 1626.26 Target - EOC. Star#1 Tgt#1 Rvsd 28-Jun-04, End ofJ;JroplTurn .1.6.28.48 1§44.84 1661.21 1677.57 1693.93 1710.30 I 1726.66 1743.02 175.!,J.39 1775.75 1792.12 1808.4.8 1824.84 _....__ 1841.21 1857.57 1873.93 189Q.30 1906.66 1923.03__...~__. 1939.39 1955.75 1972.12 1988.48 2004.84 2021.21 2037.57 2053.94 2070.30 2086.66 2103.03 2119.39 2135.75 2152.12 2168.48 IIi. BAKER HUGHES INTEQ -~---- .~._.,--- ~_.-"--- _._----~ UNOCAL8 . . UNOCAL ,Star #1 Star, Exploration,Kenai Peninsula, Alaska(lmported) PROPOSAL LISTING Page 4 Well bore: Star #1 Vers#4 Well path: Star #1 Vers#4 Date Printed: 29-Jun-2004 WellPath Report MD[ft] Inc[deg] Azi[deg] TVD[ft] Vertical Depth SS 9600.00 15.95 9700.00 /15.95 9722.62 15.95 lei. BAKER HUGHES INTEQ North[ft] East[ft] Station Station Position(Grid Position(Grid North) East) 2294.53W 2158627.11 200427.38 2315.18W 215.8609A!L~~<MQ6.30 2319.85W 2158605.49 200401.53 Dogleg Vertical Station Comment [deg/10 Section[f Oft] tl 0.00 2184.84 0.00 220 1.21 ,_~___.___~ 0.00 2204.91 TD- 3 1/2" Casing Pt., 3 1/2" Casing, End of Hold 228.69 9082.10 8602.10 228.69 9178.25.J~698.25 228.69 9200.00 8720.00 277.07S 295.21S 299.32S All data is in Feet unless otherwise stated Coordinates are from Slot MD's are from Rig and TVD's are from Rig ( Datum #1 480.0ft above mean sea level) Vertical Section is from O.OON O.OOE on azimuth 282.15 degrees Bottom hole distance is 2339.08 Feet on azimuth 262.65 degrees from Wellhead Calculation method uses Minimum Curvature method Prepared by Baker Hughes Incorporated UNOCALe Comments MQfft] ,1500,00 ---2000_,00 2989.29 4500.00 4934.31 6186.45 -ÆZZ,§2 , ,[IYDfftl 1500.00 2000.00 2945.64 _1.258.16 __AJi35.50 , 5800.00 9200.00 Hole Sections Diameter I Start finl MDfftl 121/4 ! 0.00 8 1/2 I 1500.00 6 1/8 I 4500.00 . . UNOCAL ,Star #1 Star, Exploration,Kenai Peninsula, Alaska(lmported) PROPOSAL LISTING Page 5 Wellbore: Star #1 Vers#4 Wellpath: Star #1 Vers#4 Date Printed: 29-Jun-2004 IIi. BAKER HUGHES INTEQ Eastfftl O.OOE 0.001;_ _ 239.05W 952.75W 1157.93W 1589.84W 23H!ß5W Start TV-ºJftl 0.00 1500.00 4258.16 f\JQrthfftl O,OON O.OON 75.02N 298.97N 363.35N 342.24N 299.32S Start Northfftl O.OON O.OON 2~ª.97N I Comment 9 5/[' Casingp!. _ __ _ ________ KOP EOC 7" CasinqE'L_____",________,____ Begin Orop[(J,Jm______~_____,___ Target - EOC TO- 31/2" Cåsing PI. -~,--,--_._.~~.~- Start End Eastfftl ___---.MQfftl O.OOE 1500.00 O.OOE 4500.00 952.75W 9722,6L End\nEast[ft} Wellbore End rvDff!) 1500,00 4258.16 9200.00--T· End Northfftl O.OON 2g!!JJl!'J. 299.32S O.OOE ,_.~J¿2.75W 2319.85W Star #1 Vers#4 Star #1 Vers#4 Star #1 Vers#4 Casings Name ¡Top Top Top Top I Shoe Shoe I Shoe Shoe Wellbore ! MDfftl TVOfftl Northfftl Eastfftl MDfftl TVDfftl Northfftl Eastfftl 9 5/8" Casing i 0.00 0.00 O.OON O.OOE 1500.00 1500.00 O.OON O.OOE Star #1 Vers#4 7" Casing I 1500.00 1500.00 O.OON O.OOE 4500.00 4258.16 298.97N 952.75W Star #1 Vers#4 3 1/2" Casing I 0.00 0.00 O.OON O.OOE 9722.62 9200.00 299.32S 2319.85W Star #1 Vers#4 Targets Name Northfftl Eastfftl I TVDfftl Latitude LonQitude Easting NorthillQ Star#1 Tgt#1 Rvsd 342.24N 1589.84W i 5800.00 N59 54 1.7816 W151 37 39.9751 201147.00 2159229.00 28-Jun-04 ---~-_.._._~_.._---~--_._-~~-,- Star#1 Tgt#2 Rvsd 280.80S 2319.83W 6710.00 N59 53 55.6444 W151 37 54.2841 200402.00 2158624.00 28-Jun-04 Star#1 TO Rvsd 587.92S 2648.42W 10730.00 N59 53 52.6189 W151 38 0.7244 200066.00 2158325.00 28-Jun-04 All data is in Feet unless otherwise stated Coordinates are from Slot MO's are from Rig and TVO's are from Rig ( Datum #1 480.0ft above mean sea level) Vertical Section is from O.OON O.OOE on azimuth 282.15 degrees Bottom hole distance is 2339.08 Feet on azimuth 262.65 degrees from Wellhead Calculation method uses Minimum Curvature method Prepared by Baker Hughes Incorporated ~ -1200 0 0 ('t) II -600 E u Q) -0 ro u (f) 600 1200 1800 2400 3000 3600 - - Q) .æ 4200 - ..r::: - c. Q) 4800 C CU CJ 5400 :e Q) > Q) 6000 ~ L. l- I 6600 V 7200 7800 8400 9000 9600 10200 10800 11400 . ... -==- INTEQ UNOCAL Location: Kenai Peninsula, Alaska(lmported) Field: Exploration Installation: Star I ~-~.",.._---- . Slot: Star #1 Well: Star #1 Well bore: Star #1 Vers#4 UNOCAL8 ......~-,----- Created by: Planner Date plotted: 29-Jun-2004 Plot reference is Star #1 Vers#4. Ref well path is Star #1 Vers#4. Coordinates are in feet reference Star #1. True Vertical Depths are reference Rig Datum. Measured Depths are reference Rig Datum. Rig Datum: Datum #1 Rig Datum to mean sea level: 480.00 ft. Plot North is aligned to TRUE North, WELL PROFILE DATA 9 5/8" Casing Pt. / --, Point Tie on MD Inc Azi TVD North 0.00 0.00 0.00 0.00 0.00 2000.00 0.00 0.00 2000.00 0.00 0.00 KOP 9.00 18.00 DLS: 3.00 deg/100ft EOC KOP End of Buildrrurn East deg/100ft V. Sect 0.00 0.00 0.00 0.00 0.00 -239.05 /3.00 2989.29 29.68 287.42 2945.63 75.02 1208.46 End of Hold 249.48 4934.31 29.68 287.42 4635.50 363.35 -1157.93 1626.26 0.00 Target Star#1 Tgt#1 Rv 6186.45 15.95 228.69 5800.00 342.24 -1589.84 7" Casing PI. / T.D. & End of Hold 9722.62 15.95 228.69 9200.00 -299.32 -2319.85 Begin DroplTum 25.41 21.13 DLS: 2.00 deg/100ft 16.08 Star#1 Tgt#1 Rvsd 28-Jun-04 Star#1 Tgt#2 Rvsd 28-Jun-04 TD- 31/2" Casing PI. 1 \. 31/2" Casing / Star#1 TD Rvsd 28-Jun-04 -600 -0 600 1200 1800 2400 3000 3600 Scale 1 em; 300 Nertical Section (feet) -> Azimuth 257.48 with reference 0.00 N, 0.00 E from Star #1 2.00 0.00 2204.91 ... UKI. HUOMU INTEQ Scale 1 cm = 80 ft -3200 -3040 -2880 -2720 UNOCAL Location: Kenai Peninsula, Alaska(lmported) Field: Exploration Installation: Star L___._~._ --~---'-'--'._- Slot: Star #1 Well: Star #1 Wellbore: Star #1 Vers#4 - _____'.,.___'__ ____..____n__ -1120 -800 -640 UNOCAL. -- Created by: Plann",-' Date plotted: 29-Jun-2004 Plarreterericeis Star #1I/ers#4, ReI well path is Star #1 Vers#4, Coordinates are in feet reference Star #1. True Vertical Depths are reference Rig Datum. Measured Depths are reference Rig Datum. Rig Datum: Oatum #1 Rig Datum to mean sea level: 480.00 It. Plot North is aligned to TRUE North, -480 -320 -160 o 160 -2560 -2400 -2240 -2080 -1920 East (feet) .> -1600 -'440 -1280 -960 L I~., ,1__-.1_ L__L J_...J__ .,.L.----1." _L__...L_nL_---L"L_--...L.",.l-----L_..,J_L _,~L"...J_L_~I _.....L_I _---.L___I__....L_, L~L L_L L_!,_..L. I -1760 Star#1 Tgt#1 Rvsd 28-Jun-04 Begin DroplTurn ~ 7" Casing PI. Þ---- Star#1 TD Rvsd 28-Jun-04 "\ EOC 95/8" Casing ~"Ðr KOP '\. 320 . 1120 960 800 640 480 320 160 . ;+ ~ 0 - ø' CD - - -160 -320 -480 (f) -640 C'> , Q) r0- C'> -800 3 II ex> 0 __ ._osn ;:: >. C061591 19 30 CREEK UNIT STAR #1 EXHIBIT A 34 35 IIIIIIIIIIIIII 3 0.5 0.25 0 0.5 J ,... Miles Alaska State Plane Zone 4, NAD27 . . Maximum Anticipated Surface Pressure Star #1 Kenai Peninsula, Alaska Assumptions: 1. Based on offset drilling & well test data, the pore pressure gradient is predicted to be a O~i/ft gradient from surface to planned total depth at 9,200' TVO RKB. Unocal has reviewed data from the OffS~~;:'NFU #41-35 (-8 miles S). 2. The MAS.P. during drilling operations will be governed by the 7" shoe frac gradient, and is calculated based on a full column of gas between the 7" shoe and the surface. 3. The MAS.P. during production operations will be the estimated SIBHP minus the gas hydrostatic pressure between TO & the surface. The 7" intermediate casing must be designed to handle a potential burst load case based on a shallow leak in the 31/2" pipe early in the life of a 9,200' TVO gas completion (i.e. before reservoir pressure declines). M.A.S.P. Calculation During Production Phase: Max. pore pressure at T.O. = 9200 TVO x 0.433 = 3984 psi MAS.P. (tbg leak at surface) = 3984 psi - (0.096 psi/ft * 9200 ft) = = 3101 psi M.A.S.P. Calculation During Drilling Phase: Est. Frac pressure at 7" shoe 4258 ft. x 0.8 psi/ft = = 3406 psi M.Ä.S.P. during drilling = 3406 psi - (.08 psi/ft x 4258 ft.) = = 3065 psi / Size 9-5/8" T' 3-1/2" . Star #1 Casing Design Weight 40# 26 # 9.2 # Grade / Connection / L-80 BTC L-80 BTC mod. L-80 lBTC mod. 9-5/8" Surface Casin2 Tension Burst Collapse Calculated 1500' x 40# = 60.0k (4258' TVD x (0.433 psi/ft- 0.1 psi/ft)) = 1418 psi (1500' TVD x (0.433 psi/ft- 0.1 psi/ft)) = 500 psi 7" Intermediate Casin2 Tension Burst Collapse Calculated 4500' x 26# = l17.0k (9200' TVD x (0.433 psi/ft - 0.1 psi/ft)) = 3064 psi (4258' TVD x (0.433 psi/ft- 0.1 psi/ft)) = 1418 psi 3 'l'2" Production Casin2 Tension Burst Collapse Calculated 9720' x 9.2# = 84.6k (9200' TVD x (0.433 psi/ft - 0.1 psi/ft)) = 3064 psi (9200' TVD x (0.433 psi/ft - 0.1 psi/ft)) = 3064 psi . Tensile 916,0001b 604,000 lb 207,200 lb Capacity 9l6k 5750 psi 3090 psi Capacity 604k 7240 psi 5410 psi Capacity 207.2k 10160 psi 10540 psi Burst 5,750 psi 7,240 psi 10,160 psi Collapse 3,090 psi 5,410 psi 10,540 psi Safety Factor 15.3 4.1 ( 6.2 Safety Factor 5.2 2.4 ~ 3.8 Safety Factor 2.3 3.3 ~ 3.4 to 9 5/$" outlet c:: 13 3/$" outlet . . UNOCALe Alaska Resources Shallow Hazard Analysis in Support ofUnocal Star #1 Exploratory Well PorentiaIShaIIow IIa'mrds We do not anticipate encountering shallow gas hazards, above 1500' TVD subsea, during the drilling of the Unocal # 1 Star well. Newly shot 2D seismic indicates a package of shallow amplitudes from 478 to 562 milliseconds, corresponding to -1861 to -2230' TVD subsea, which may indicate gas charged Beluga sandstones and / or interbedded Beluga coals. At wells in the vicinity, no non-coal gas shows have been logged in this interval, nor have any drilling problems, other than lost circulation zones, been encountered. At the North Fork #11- 4 well located 4.1 miles to the southeast, the first logged gas shows were from Beluga coals at approximately 3800'. Primary gas reservoir objectives at the Star #1 well are Upper and Middle Tyonek sandstones at depths between -5300' TVD SS and -9250 TVD SS. The proposed total depth is minus 9800 TVD SS. Structure The Star structure consists of a northease-southwest trending four-way anticlinal closure based on 2D seismic, gravity, surface geology, and magnetics data. At the surface, the anticline is breached and trending along the crest is the Chakok Creek. Primary reservoir objectives include gas in the Beluga, Upper and Middle Tyonek formations. Stratigraphy and Reservoir Objectives Sterline Formation The Star # 1 will spud in lowennost Lower Sterling fonnations consisting of interbedded sandstones, siltstones, mudstones, carbonaceous shale, and lignitic coals. The sandstone is mainly tan or buff yellow, and fmes upward from coarse to very fme grained. The most common bedfonns consist of trough crossbeds and convoluted, planar crossbedded and ripple laminated beds. Siltstones and mudstones are dark to light gray and are ripple laminated, rooted or burrowed. The carbonaceous shales and coals are dark gray, fissile, or black, laminated, banded. The sandstones appear fluvial point bar deposits with fair to poor lateral Confidential Page 1 6/10/2004 O:IDRILUNG\OnShorfJl$KGIStarIRfJgulatqryI052604_ Star1_shallowhazard.doc extent. The mrre for shallow gas hazards. 2000' of the surface. the shows. Beluga Where the of interbedded papery coal ftommedium to planar bedding at the North Fork # 11-4 in certain ftactured north, but Fork #41-35 wells. M.Y. [nlet Basin 0- -20 -30- -40- -60- Paleo. Figure 1: Tertiary 052603ßtar1_shallbwhazard.doc Index Map for Unocal #1 well. 052603_ Star1_shallowhazard,doc Surface padfor Star #1. Report Compiled by: D. B. Buthman, Consulting Geologist! Unocal, 12May 2004 052603_ Star1_shallowhazard.doc . . Schlumberger CemCADE* well cementing recommendation for 9-5/8" Surface Operator Country State : UNOCAL : USA :AK Well Field STAR #1 STAR Prepared for Proposal No. Date Prepared : Rob Stinson : PTD : 06-29-2004 Location Service Point Business Phone FAX No. Ninilchik Kenai (907) 776-8155 (907) 776-8158 Prepared by Chinedu F. Akwukwaegbu Phone (907)273-1739 E-Mail Address:CAkwukwaegbu@slb.com ~\GN l<:Jo/ \'<\¿.. ~.(lIATE Disclaimer Notice: This information is presented in good faith, but no warranty is given by and Schlumberger assumes no liability for advice or recommendations made conceming results to be obtained from the use of any product or service. The results given are estimates based on calculations produced by a computer model including various assumptions on the well, reservoir and treatment. The results depend on input data provided by the Operator and estimates as to unknown data and can be no more accurate than the model, the assumptions and such input data. The information presented is Schlumberger's best estimate of the actual results that may be achieved and should be used for comparison purposes rather than absolute values. The quality of input data, and hence results, may be improved through the use of certain tests and procedures which Schlumberger can assist in selecting. The Operator has superior knowledge of the well, the reservoir, the field and conditions affecting them. If the Operator is aware of any conditions whereby a neighboring well or wells might be affected by the treatment proposed herein it is the Operator's responsibility to notify the owner or owners of the well or wells accordingly. Prices quoted are estimates only and are good for 30 days from the date of issue. Actual charges may vary depending upon time, equipment, and material ultimately required to perform these services. Freedom from infringement of patents of Schlumberger or others is not to be inferred. Mark of Schlumberger . Client Well String District Country Loadcase : UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) Section 1: well description Configuration Stage Rig Type Mud Line Total MD BHST Bit Size : Casing : Single : Land : 0.0 ft : 1500.0 ft : 64 degF : 12 1/4 in MD (ft) 80.0 Previous String OD Weight (in) (Ib/ft) 16 109.0 ID (in) 14.688 Landing Collar MD : 1420.0 ft Casinglliner Shoe MD : 1500.0 ft MD (ft) 1500.0 Casing/Liner Weight ID Grade (lb/ft) (in) 40.0 8.835 L-80 OD (in) 95/8 Joint (ft) 40.0 Mean OH Diameter : 12.250 in Mean Annular Excess : 30.0 % Mean OH Equivalent Diameter: 12.934 in Total OH Volume : 230.8 bbl (including excess) The Well is considered VERTICAL MD (ft) 2000.0 Formation Data Pore Name (Ib/gal) 8.33 Frac. (Ib/gal) 15.00 Geothermal Temperature Profile MD TVD Temperature Gradient (ft) (ft) (degF) (degF/100ft) 0.0 0.0 60 0.0 2000.0 2000.0 65 0.3 . Collapse (psi) 3090 Lithology Sandstone Star_#2-PTD,cfw; 06-29-2004; loadCase 9-5/8 in Surface (a) ; Version wcs-cem441_51 Sc~llDlrger Burst Thread (psi) 5750 BTC Page 2 Client Wen String District Country Loadcase : Original fluid Volume Volume TOC Name Fresh Water MUDPUSH II Lead Slurry T aH Slurry Mud UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) : fluid seque Mud pv: 12.000 cP 107.7 bbl 271.3 bbl O.Oft Volume (bbl) 5.0 Ann. Len (ft) 0.0 0.0 1150.0 350.0 Fluid Sequence Top Density (ft) (Ib/gal) 8.32 10.50 12.80 15.80 9.30 0.0 1150.0 0.0 Static Security Checks: Frac 9 psi Pore 19 psi Collapse 2733 psi Burst 5750 psi Csg.Pump out 15 ton ft 0- o o 0- fluid 9.30 Ib/gal Ty: 15.00 Ibf/100ft2 viscosity:5.000 cP pv:18.000 cP Pv:11.936 cP pv:25.7 49 cp pv:12.000 cP at 80.0 ft at 80.0 ft at 1420.0 ft at 0.0 ft o (x 1000) 04 OS Hydrost¡¡tìe free Pore Well Star~#2-PTD.cfw; 06-29-2004; LoadCase 9-5/8 in Surface (a) ; Version wcs-cem441_51 Rheology 1.2 Ty:19.00 Ibf/100ft2 TY:16.99Ibf/100ft2 TY:24.73 Ibf/100ft2 Ty:15.00 Ibf/100ft2 Page 3 . . Client Well String District Country Loadcase : UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) Sc~11D llerger Section 3: pumping schedule Start Job: Ensure that hole and mud are properly conditioned as per program Pumping Schedule Name Flow Rate Volume Stage Time Cum.Vol Inj. Comments (bbl/min) (bbl) (min) (bbl). Temp. (degF) Fresh Water 5.0 5.0 1.0 5.0 80 Fluid pack lines Pause 0.0 0.0 5.0 0.0 80 3-Pressure Test Lines MUDPUSH " 5.0 40.0 8.0 40.0 80 7-Start Pumping Spacer Pause 0.0 0.0 5.0 0.0 80 4-Drop Bottom Plug Lead Slurry 5.0 87.2 17.4 87.2 80 13-Start Mixing Lead Slurry Tail Slurry 5.0 31.4 6.3 31.4 80 16-Start Mixing Tail Slurry Pause 0.0 0.0 5.0 0.0 80 18-Drop Top Plug Mud 5.0 107.7 21.5 107.7 80 19-5tart Displacement Total 01:09 271.3 bbl hr:mn End Job: Record returns to surface and plug bumping. Dynamic Security Checks: Frac 8 psi Pore 2 psi Collapse 2733 psi Burst 5405 psi at 80.0 ft at 80.0 ft at 1420.0 ft at 0.0 ft BHCT Simulated BHCT CT at TOC 75 degF 77 degF 74 degF Temperature Results I Simulated Max HCT Max HCT Depth Max HCT Time 77 degF 1500.0 ft 01:09:15 hr:mn:sc WELLHEAD PRESSURE o ~ 1- Well Head Pressure - - - - A c q u ir e d W H P ; o IJ')- cry o 0- cry o IJ')- N ïñ ~o c.. ~- J: ~ o IJ')- o 0- o 0lJ')~~ o 25.0 , 50,0 75.0 Time (min) Page 4 Star_#2-PTD,cfw; 06-29-2004; LoadCase 9-5/8 in Surface (a); Version wcs-cem441_51 Client Well String District Country Loadcase : ECD (¡;) ~ U) ~ '<:t ~ <'ì .,.... ( ) :;N <I'J ~ <I'J ~ Il. C:.,.... ¿...... o .,.... (1)- 0:;> UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) Frac Pore Hydrostatic o FlOWRATE COMPARISON (1) 0:;>- t-- (¡;)- ( ) 10 ex: '<:t- ~ i.:ï: "'- N- o Acquired Q Out Acquired Q In Q Out Q In o o e p th = 1 500 ft , 25.0 , 75.0 , 50.0 Tim e (m in) F lu ids a t 1 500ft 25.0 , 50.0 , 75.0 Tim e (m in) Star_#2-PTD.cfw; 06-29-2004; LoadCase 9-518 in Surface (a) ; Vereion wcs-cem441_51 Page 5 It . Client Well String District Country Loadcase : UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) S~IIß.rger Section 4: fluid description Mud DESIGN Fluid No: 1 Density : 9.30 Ib/gal Rheo. Model : BINGHAM Pv : 12.000 cP At temp. : 80 degF Ty : 15.00 Ibf/100ft2 Gel Strength : (lbf/100ft2) MUD Mud Type :WBM Job volume : 107.7 bbl Water Type : Fresh Fresh Water DESIGN Fluid No: 2 Rheo. Model At temp. Density : 8.32 Ib/gal : NEWTONIAN : 80 degF Viscosity : 5.000 cP Gel Strength : (lbf/100ft2) Job volume : 5.0 bbl MUDPUSH II DESIGN Fluid No: 3 Rheo. Model At temp. : BINGHAM : 80 degF Density Pv Ty Gel Strength Job volume : 10.50 Ib/gal : 18.000 cP : 19.00 Ibf/100ft2 : (lbf/100ft2) : 40.0 bbl Lead Slurry DESIGN Fluid No: 4 Rheo. Model At temp. : BINGHAM : 81 degF Density Pv Ty Gel Strength : 12.80 Ib/gal : 11.936cP : 16.99Ibf/100ft2 : (lbf/100ft2) DESIGN BLEND Name : G Dry Density : 199.77 Ib/ft3 Sack Weight: 94 Ib BASE FLUID Type : Fresh water SLURRY Mix Fluid Yield Porosity : 11.064 gal/sk : 1.97 ft3/sk : 75.1 % Job volume: 87.2 bbl ~ Quantity : 248.45 sk ",,¡" Solid Fraction : 24.9 % Density : 8.32 Ib/gal Base Fluid : 11.064 gal/sk Additives Code D079 S002 D046 Cone. 1.500 %BWOC 1.000 %BWOC 0.200 %BWOC Function EXTENDER Accelerator ANTI FOAM Thickening Time Compressive Strength Schedule () Schedule ( ) 100 Bc 500 psi at at 03:05 hr:mn 29:40 hr:mn Page 6 Star_#2-PTD,cfw; 06-29-2004; LoadCase 9-5/8 in Surface (a) ; Version wcs-cem441_51 It . Client Well String District Country Loadcase : UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) Sc~llß.rger Tail Slurry DESIGN Fluid No: 5 Rheo. Model At temp. : BINGHAM : 80 degF Density Pv Ty Gel Strength : 15.80 Ib/gal : 25.749 cP : 24.73 Ibf/100ft2 : (lbf/100ft2) DESIGN BLEND Name : G Dry Density : 199.77lb/ft3 Sack Weight: 94 Ib BASE FLUID Type : Fresh water SLURRY Mix Fluid Yield Porosity : 5.098 gal/sk : 1.17 ft3/sk : 58.2% Job volume: 31.4 bbl Quantity : 150.90 sk Solid Fraction : 41.8 % r Density : 8.32 Ib/gal Base Fluid : 5.098 gal/sk Additives Code D065 S002 D046 Cone. 0.300 %BWOC 1.500 %BWOC 0.200 %BWOC Function DISPERSANT Accelerator ANTI FOAM Thickening Time Compressive Strength Schedule () Schedule ( ) 100 Bc 2573 psi at at 03:04 hr:mn 24:00 hr:mn Section 5: WELLCLEAN laminar Annular Zone of Interest Top: 0.0 ft Bottom: 1500.0 ft All preflushes are displacing the original mud. All cement slurries are displacing the last selected preflush (or the original mud) Fluid Name Effective Laminar Flow Displacement Max. (Qmin) @ (MD) Min. (Qmax) @ (MD) (ft) (bbl/min) (ft) (bbl/min) Min. Effective Vol. (bbl) @ Depth (ft) MUDPUSH " Lead Slurry Tail Slurry 1.0 1500.0 20.0 1500.0 39.3 0.0 1.0 1500.0 20.0 1500.0 0.0 1150.0 Flow rate ranges to get effective laminar flow displacement for all selected fluids: No Solution Found Differential Velocity Criterion has been selected Page 7 Star_#2-PTD,cfw; 06-29-2004; LoadCase 9-518 in Surface (a) ; Version wcs-cem441_51 Client Well String District Country Loadcase : UNOCAL STAR #1 9-5/8 Kenai USA 9-5/8 in Surface (a) Section 6: of centralization Bottom Cent. MD Shoe NB of Used NB of Floating Cent. Bottom MD (ft) 1500.0 Nbr. 7 nt :0.0 ft :1480.0 ft :1500.0 ft :7 :7 Cent. / Joint 1/5 Placement Cent. Name Code @ Depth (ft) 1500.0 Min. STO (%) 100.0 A1612395-95/8-0-RIGiD W184 Centralizer Description Cent. Name Code Casing Max. Min. 00 Rigid 00 00 (in) (in) (in) A1612395-95/8-0- W184 95/8 12.000 12.000 Yes RIGID Centralizer Tests Hole Size Running Restoring (in) Force Force (lbf) (Ibf) NA NA NA Origin Houma (1) - Centralizer performance data is based on tests by WEATHERFORD as per the current API 100 specifications Running Calculations: Block Weight Friction Centralizer/Formation Total Drag Force Hook load Down Stroke Hook load Up Stroke o o o 01_ :100 ton :0.3 :() ton :126 ton :126 ton ft % 0- Standoff Star_#2-PTD,cfw; 06-29-2004; LoadCase 9-5/8 În Surface (a) ; VersÎon wcs-cem441_51 Page 8 e . Schlumberger * CemCADE well cementing recommendation for 7" Intermediate Operator Country State : UNOCAL : USA :AK Well Field STAR #1 STAR Prepared for Proposal No. Date Prepared : Rob Stinson : PTD : 06-29-2004 Location Service Point Business Phone : FAX No. Ninilchik Kenai (907) 776-8155 (907) 776-8158 Prepared by Chinedu F. Akwukwaegbu Phone (907)273-1739 E-Mail Address:CAkwukwaegbu@slb.com ¡þ\GN Q«) ~~ ~~lJATE Disclaimer Notice: This information is presented in good faith, but no warranty is given by and Schlumberger assumes no liability for advice or recommendations made conceming results to be obtained from the use of any product or service. The results given are estimates based on calculations produced by a computer model including various assumptions on the well. reservoir and treatment. The results depend on input data provided by the Operator and estimates as to unknown data and can be no more accurate than the model, the assumptions and such input data. The information presented is Schlumberger's best estimate of the actual results that may be achieved and should be used for comparison purposes rather than absolute values. The quality of input data, and hence results. may be improved through the use of certain tests and procedures which Schlumberger can assist in selecting. The Operator has superior knowledge of the well, the reservoir. the field and conditions affecting them. If the Operator is aware of any conditions whereby a neighboring well or wells might be affected by the treatment proposed herein it is the Operator's responsibility to notify the owner or owners of the well or wells accordingly. Prices quoted are estimates only and are good for 30 days from the date of issue. Actual charges may vary depending upon time, equipment, and material ultimately required to perform these services. Freedom from infringement of patents of Schlumberger or others is not to be inferred. . Mark of Schlumberger . Client Well String District Country Loadcase : UNOCAL STAR #1 7 Kenai USA 7 Section 1: well description Configuration Stage Rig Type Mud Line Total MD BHST Bit Size : Casing : Single : Land : 0.0 ft : 4500.0 ft : 98 degF : 8 1/2 in MD (ft) 1500.0 Previous String OD Weight (in) (Ib/ft) 9 5/8 40.0 ID (in) 8.835 Landing Collar MD : 4420.0 ft Casing/liner Shoe MD : 4500.0 ft . OD (in) Joint (ft) 40.0 Casing/Liner Weight ID Grade (lblft) (in) 26.0 6.276 L-80 Collapse (psi) 5410 MD (ft) 4500.0 7 Mean OH Diameter : 8.500 in Mean Annular Excess : 30.0 % Mean OH Equivalent Diameter: 8.901 in Total OH Volume : 230.9 bbl (including excess) Max. Deviation Angle : 31 deg Max. DLS : 25.500 deg/100ft MD (ft) Directional Survey Data TVD Deviation Azimuth (ft) (deg) (deg) 0.0 0.0 0.0 1999.9 5.0 0.0 4177.7 26.0 0.0 4258.5 26.0 0.0 0.0 2000.0 4400.0 4500.0 MD (ft) 6500.0 Formation Data Pore Name (psi/ft) 0.433 Frac. (psi/ft) 0.725 Dogleg Sev. (deg/100ft) 0.000 5.000 1.000 0.000 Lithology Sandstone Geothermal Temperature Profile MD TVD Temperature Gradient (ft) (ft) (degF) (degF/100ft) 0.0 0.0 60 0.0 4500.0 4258.4 95 0.9 Star_#2-PTD.cfw; 06-29-2004; LoadCase 7" Intermediate; Version wcs-cem441_51 Se_llDlrger Burst Thread (psi) 7240 BTC Page 2 Section 2: fluid seq Original fluid Mud pv : 15.000 cP 169.1 bb¡ 265.9 bbl 2500.0 ft Client Well String District Country Loadcase : UNOCAL STAR #1 7 Kenai USA 7 Volume Total Volume TOC 9.50 Ib/gal Ty: 18.00 Ibf/100ft2 Fluid Sequence Name Volume Ann. Len Rheology (bb!) (ft) (ft) (Ib/gal) Fresh Water 5.0 177.1 1300.2 8.32 viscosity:5.000 cP MUDPUSH II 30.0 1022.6 1477.4 10.50 pv:22.000 cP Ty:22.00 Ibf/100ft2 Lead Slurry 44.0 1500.0 2500.0 12.80 Pv:31.504 cP Ty:33.84 Ibf/100ft2 Tail Slurry 17.7 500.0 4000.0 15.80 pv:72.013 cP Ty:10.82Ibf/100ft2 Mud 169.1 0.0 9.50 pv:15.000 cP Td8.00 Ibf/100ft2 Static Security Checks: Frac 357 psi Pore 81 psi Collapse 4803 psi Burst 7229 psi Csg.Pump out 40 ton ft 0- <: o o 0- 4:".> N o o· o o 4:".>- at 1500.0 ft at 1500.0 ft at 4420.0 ft at 1477.4 ft o 1000) ? Hydrostatic Frec Pore 4 ! Fluid Static Well Star_#2,PTD,cfw; 06,29,2004; LoadCase 7" Intermediate; Version wcs'cem441_51 Page 3 . . Client Well String District Country Loadcase : UNOCAL STAR #1 7 Kenai USA 7 Sc~llDlrger Section 3: pumping schedule Start Job: Ensure that hole and mud are properly conditioned as per program Pumping Schedule Name Flow Rate Volume Stage Time Cum.Vol Inj. Comments (bbl/min) (bbl) (min) (bbl). Temp. (degF) Fresh Water 5.0 5.0 1.0 5.0 80 Fluid pack lines Pause 0.0 0.0 5.0 0.0 80 3-Pressure Test Lines MUDPUSH II 5.0 30.0 6.0 30.0 80 7-Start Pumping Spacer Pause 0.0 0.0 5.0 0.0 80 4-Drop Bottom Plug Lead Slurry 5.0 44.0 8.8 44.0 80 13-Start Mixing Lead Slurry Tail Slurry 5.0 17.7 3.5 17.7 80 16-Start Mixing Tail Slurry Pause 0.0 0.0 5.0 0.0 80 18-Drop Top Plug Mud 5.0 169.1 33.8 169.1 80 19-5tart Displacement Total 01:08 265.9 bbl hr:mn End Job: Record returns to surface and plug bumping. Dynamic Security Checks: Frac 229 psi Pore 81 psi Collapse 4803 psi Burst 6453 psi at 4500.0 ft at 1500.0 ft at 4420.0 ft at 0.0 ft BHCT Simulated BHCT CT at TOC 90 degF 84 degF 83 degF Temperature Results I Simulated Max HCT Max HCT Depth Max HCT Time 98 degF 4500.0 ft 00:00:00 hr:mn:sc WELLHEAD PRESSURE o o ex> - Well Head Pressure - - - - A c quire d W H P o o- N o 0- .... o 0- <0 o 0- Ll) ,ii ~ 8- el. '<t I ~ o o~ '" o 0- o - o 25.0 50.0 75.0 Tim e (m in) Page 4 Star_#2-PTD.cfw; 06-29-2004; LoadCase 7" Intermediate; Version wcs-cem441_51 Client Well String District Country Loadcase . ECD tD ~ '7 ~ (') ~ ~- (j) ;:¡ '" '" (1) à: ::>- ¿ ~ ~- 0'>- <;0- o UNOCAL STAR #1 7 Kenai USA 7 Frac Pore Hydrostatic Dynamic FLOWRATE COMPARISON rot 1'-- (!; - (j) '7- m a::: ~ ¡¡: <0- ('>j- 0- o Acquired Q Out Acquired Q In Q Out Q In D e p th:::: 4 5 0 0 ft I 25.0 I 50.0 , 75.0 Time (min) Flu ì d sat 4500 ft 25.0 , 50.0 , 75.0 Time (mìn) Star_#2-PTD.çfw; 06-29-2004; LoadCase 7" Intermediate; Version wcs-cem441_51 Page 5 Client Well String District Country Loadcase : . . UNOCAL STAR #1 7 Kenai USA 7 Se_llDlrger Section 4: fluid description Mud DESIGN Fluid No: 1 Density : 9.50 Ib/gal Rheo. Model : BINGHAM Pv : 15.000 cP At temp. : 80 degF Ty : 18.00 Ibf/100ft2 Gel Strength : (lbf/100ft2) MUD Mud Type :WBM Job volume : 169.1 bbl Water Type : Fresh DESIGN BLEND Name : G Dry Density : 199.77lb/ft3 Sack Weight: 94 Ib BASE FLUID Type : Fresh water Fluid No: 2 Rheo. Model At temp. Fluid No: 3 Rheo. Model At temp. Fluid No: 4 Rheo. Model At temp. Code D046 D079 D167 S002 Fresh Water DESIGN Density : 8.32 Ib/gal : NEWTONIAN : 80 degF Viscosity : 5.000 cP Job volume : 5.0 bbl MUDPUSH" DESIGN : BINGHAM : 80 degF Density Pv Ty Job volume : 10.50 Ib/gal : 22.000 cP : 22.00 Ibf/100ft2 : 30.0 bbl Lead Slurry DESIGN : BINGHAM : 80 degF Density Pv Ty Gel Strength : 12.80 Ib/gal : 31.504 cP : 33.84 Ibf/100ft2 : (lbf/100ft2) SLURRY Mix Fluid Yield Porosity Job volume: 44.0 bbl Quantity : 124.87 sk Solid Fraction : 25.3 % : 11.067 gal/sk : 1.98 ft3/sk : 74.7% )k Density Base Fluid : 11.067 gal/sk : 8.32 Ib/gal Additives Cone. 0.200 %BWOC 2.000 %BWOC 0.800 %BWOC 0.750 %BWOC Function ANTI FOAM EXTENDER FLUID LOSS Accelerator Thickening Time Compressive Strength Schedule 9.4-1 Schedule ( ) 03:30 hr:mn 46:00 hr:mn 100 Bc 1137 psi at at Page 6 Star_#2-PTD,cfw; 06-29-2004; LoadCase 7" Intermediate; Version wcs-cem441_51 Client Well String District Country Loadcase : Fluid No: 5 Rheo. Model At temp. . UNOCAL STAR #1 7 Kenai USA 7 : BINGHAM : 80 degF DESIGN BLEND Name : G Dry Density : 199.77 Ib/ft3 Sack Weight: 941b BASE FLUID Type : Fresh water Code D167 D065 D046 Additives Cone. 0.400 %BWOC 0.300 %BWOC 0.200 %BWOC Thickening Time Compressive Strength . Tail Slurry DESIGN SLURRY Mix Fluid Yield Porosity Density : 5.091 gallsk : 1.16 ft3/sk : 58.6% : 8.32 Ib/gal Function FLUID LOSS DISPERSANT ANTI FOAM Schedule 9.18-4 Schedule ( ) Density Pv Ty Gel Strength : 15.80 Ib/gal : 72.013 cP : 10.821bf/100ft2 : (lbf/100ft2) Job volume: 17.7 bbl Quantity : 85.81 sk Solid Fraction : 41.4 % Base Fluid : 5.091 gallsk 1 00 Bc 2351 psi at at Star_#2-PTD,cfw; 06-29-2004; loadCase 7" Intermediate; Version wcs-cem441_51 Sc~llD.rger r 04:38 hr:mn 18:30 hr:mn Page 7 Client Well String District Country Loadcase : UNOCAL STAR #1 7 Kenai USA 7 Section : central ft :4490.0 ft :4500.0 ft :32 :32 nt of centralization Bottom Cent. MD Shoe NB of Cent. Used NB of Cent. Centralizer Placement Bottom MD Nbr. Cent. / Cent. Name Code Min. STO @ Depth (ft) Joint (%) (ft) 4340.0 24 1/2 1501570-7 -6-POSfTIVE 0.0 4301.1 4500.0 8 2/1 1501570-7 -6-POSfTfVE 76.9 4500.0 Description Tests Cent. Name Code Casing Max. Min.OD Rigid Origin Hole Size Running Restoring 00 00 (in) (in) Force Force (in) (in) (Ibf) (Ibf) 1501570-7-6- 7 8.500 8.500 Yes Houma NA NA NA POSITIVE (1) - Centralizer performance data is based on tests by WEATHERFORD as per the current API10D specifications Running Force Calculations: Travelling Block Weight Friction Factor Centralizer/Formation Total Drag Force Hook load Down Stroke Hook load Up Stroke :120 ton :0.3 :6 ton :162 ton :173 ton ft 0- ?n Bel:w1!!en Cent. . eAt Cent. Standoff Page 8 Star_#2-PTD.cfw; 06-29-2004; LoadCase 7" Intermediate; Version wcs-cem441_51 . . Schlumberger * CemCADE well cementing recommendation for 3.5" Production Operator Country State : UNOCAL : USA :AK Well Field STAR #1 STAR Prepared for Proposal No. Date Prepared : Rob Stinson : PTD : 06-29-2004 Location Service Point Business Phone : FAX No. Ninilchik Kenai (907) 776-8155 (907) 776-8158 Prepared by Chinedu F. Akwukwaegbu Phone (907)273-1739 E-Mail Address:CAkwukwaegbu@slb.com /Ø,GN Q<i) \.~ ,-~lJATE Disclaimer Notice: This information is presented in good faith. but no warranty is given by and Schlumberger assumes no liability for advice or recommendations made conceming results to be obtained from the use of any product or service. The results given are estimates based on calculations produced by a computer model including various assumptions on the well. reservoir and treatment. The results depend on input data provided by the Operator and estimates as to unknown data and can be no more accurate than the model. the assumptions and such input data. The information presented is Schlumberger's best estimate of the actual results that may be achieved and should be used for comparison purposes rather than absolute values. The quality of input data. and hence results. may be improved through the use of certain tests and procedures which Schlumberger can assist in selecting. The Operator has superior knowledge of the well, the reservoir, the field and conditions affecting them. If the Operator is aware of any conditions whereby a neighboring well or wells might be affected by the treatment proposed herein it is the Operator's responsibility to notify the owner or owners of the well or wells accordingly. Prices quoted are estimates only and are good for 30 days from the date of issue. Actual charges may vary depending upon time. equipment. and material ultimately required to perform these services. Freedom from infringement of patents of Schlumberger or others is not to be inferred. Mark of Schlumberger . Client Well String District Country Loadcase : UNOCAL STAR #1 3.5 Kenai USA 3.5inch Production Casing (a) Section 1: well description Configuration : Casing Stage : Single Rig Type : Land Mud Line : 0.0 ft Total MD : 9720.0 ft BHST : 162 degF Bit Size : 6 1/8 in MD (ft) 4600.0 Previous String OD Weight (in) (Ib/ft) 7 26.0 ID (in) 6.276 Landing Collar MD : 9640.0 ft Casing/liner Shoe MD : 9720.0 ft . MD (ft) 9720.0 Joint (ft) 40.0 Casing/Liner Weight ID Grade (Ib/ft) (in) 9.2 2.992 L-80 Collapse (psi) 10530 OD (in) 31/2 Mean OH Diameter : 6.125 in Mean Annular Excess : 30.0 % Mean OH Equivalent Diameter: 6.715 in Total OH Volume : 224.3 bbl (including excess) Max. Deviation Angle Max. DLS : 30 deg : 6.221 deg/100ft MD (ft) Directional Survey Data TVD Deviation Azimuth (ft) (deg) (deg) 0.0 0.0 0.0 8105.9 30.0 125.8 9001.4 25.0 125.8 9182.7 25.0 125.8 9200.8 25.0 125.8 0.0 8500.0 9500.0 9700.0 9720.0 MD (ft) 10000.0 13365.0 Formation Data Pore Name (psi/ft) 0.433 0.433 Frac. (psi/ft) 0.725 0.725 Dogleg Sev. (deg/100ft) 0.000 0.000 0.000 0.000 0.000 Lithology Sandstone Sandstone Geothermal Temperature Profile MD TVD Temperature Gradient (ft) (ft) (degF) (degF /1 OOft) 0.0 0.0 60 0.0 9720.0 9200.8 162 1.1 Sc~I.lIerger Burst Thread (psi) 10160 MTC Star_#2-PTD.cfw; 06-29-2004; LoadCase 3.5inch Production Casing (a); Version wcs-cem441_51 Page 2 CHent Well String District Country Loadcase : UNOCAL STAR #1 3.5 Kenai USA 3.5ìnch Production Casing (a) Section id sequence Mud pv : 15.000 cP 83.8 bbl 351.9 bbl 3500.0 ft Original fluid Volume Total Volume TOC 9.50 Ib/gal Ty: 18.00 Ibf/100ft2 Fluid Sequence Name Volume Ann. Len Density Rheology (bbl) (ft) (ft) (lb/gal) CW 101 20.0 758.6 655.1 8.31 vîscosîty:5.000 cP MUDPUSH II 55.0 2086.3 1413.7 10.50 pv:22.000 cp Tâ2.00 Ibf/100ft2 12# UteCRETE 193.1 6220.0 3500.0 12.00 pv:87.720 cP Ty:9.75Ibf/100ft2 #4 Base Oil 83.8 0.0 7.40 vîscosîty:3.000 cP Static Security Checks: Fmc B~~ Pore 483 psi Collapse 8232 psi Burst 10160 psi Csg.Pump out 29 ton ft 0- .; o 0- o ("oj .-- Fluid at 4600.0 ft at 4600.0 ft at 9640.0 ft at 0.0 ft ) 0 , (x 1000) ?'1 :tìO Hydrostatic Frac Pore 7.5 v'Vell Star_#2·PTD,cfw; 06-29-2004; LoadCase 3.5ínch Production Casing (a) ; Version wcs-cem441_51 Page 3 Client Well String District Country Loadcase : . . UNOCAL STAR #1 3.5 Kenai USA 3.5inch Production Casing (a) Sc~I.lIergep Section 3: pumping schedule Start Job: Ensure that hole and mud are properly conditioned as per program Pumping Schedule Name Flow Rate Volume Stage Time Cum.Vol Inj. Comments (bbl/min) (bbl) (min) (bbl). Temp. (degF) CW 101 5.0 5.0 1.0 5.0 80 Fluid pack lines Pause 0.0 0.0 5.0 0.0 80 3-Pressure Test Lines CW 101 5.0 15.0 3.0 20.0 80 5-Start Pumping Wash MUDPUSH " 5.0 55.0 11.0 55.0 80 7-Start Pumping Spacer 12# LiteCRETE 5.0 193.1 38.6 193.1 80 9-Start Cement Slurry Pause 0.0 0.0 5.0 0.0 80 36-Drop Dart #4 Base Oil 5.0 75.0 15.0 75.0 80 19-5tart Displacement #4 Base Oil 5.0 8.8 1.8 83.8 80 37-Bump Dart Shut-In 0.0 0.0 30.0 0.0 80 38-Set Packer Total 01:20 351.9 bbl hr:mn End Job: Record returns to surface and plug bumping. Dynamic Security Checks: F rac 683 psi Pore 231 psi COllapse 8215 psi Burst 7579 psi BHCT Simulated BHCT CT at TOC at 4600.0 ft at 4600.0 ft at 9640.0 ft at 0.0 ft 134 degF 131 degF 108 degF Temperature Results I Simulated Max HCT Max HCT Depth Max HCT Time 131 degF 9323.3 ft 01 :20:22 hr:mn:sc WELLHEAD PRESSSURE 8 ~ U1_ ~~ .~ N ã:' ...:- J: :s: '" ó- .... , N -WellHead Pressure - - - - A c quire d W H P .... ",- ",- "'1- CD ó- '" ó- o 1 '0 3 '0 70 80 90 o 40 5 Tim e (m in) 60 20 Page 4 Star_#2-PTD.cfw; 06·29-2004; loadCase 3.5inch Production Casin9 (a); Version wcs·cem441_51 11II Client Well String District Country Loadcase : UNOCAL STAR #1 3.5 Kenai USA 3.5inch Production Casing (a) ECD L() D e p th:::: 9720 ft Frac Pore {¥) ~ ãj 0'> g~.- e: :;¡ U') (/) <!) à: ::~ ¿ c « o~ ~ 0)- , , 3'0 4'0 5'0 6'0 , 8'0 , 10 20 70 90 Time (m in) DIFFERENTIAL @ PACKER DEPTH:::: 4000' D e p th :::: 4000 ft Fluids at 4001 ft C\! ~ Collapse Pseudo Hydrostatic Dynamic <D~ {¥)- ¿ 0 ui '" e: !l. '7- It:i B <9- <::p- C\! ~ , , , , , , , , 0 10 20 30 40 50 60 70 80 90 Time (min) Page 5 Star~#2-PTD,cfw; 06-29-2004 ; LoadCase 3.5inch Production Casing (a) ; Version wcs-cem44i_5i Client Well String District Country Loadcase : . . UNOCAL STAR #1 3.5 Kenai USA 3.5inch Production Casing (a) le_llDllerger Section 4: fluid description CW 101 DESIGN Fluid No: 2 Density : 8.31 Ib/gal Rheo. Model : NEWTONIAN At temp. : 80 degF Viscosity : 5.000 cP Job volume : 20.0 bbl MUDPUSH II DESIGN Fluid No: 3 Density : 10.50 Ib/gal Rheo. Model : BINGHAM Pv : 22.000 cP At temp. : 80 degF Ty : 22.00 Ibf/100ft2 Job volume : 55.0 bbl #4 Base Oil DESIGN Fluid No: 4 Density : 7.40 Ib/gal Rheo. Model : NEWTONIAN At temp. : 80 degF Viscosity : 3.000 cP Mud Type :OBM Job volume : 83.8 bbl 12# LiteCRETE DESIGN Fluid No: 6 Density : 12.00 Ib/gal Rheo. Model : BINGHAM Pv : 87.720 cP At temp. : 81 degF Ty : 9.751bf/100ft2 Gel Strength : (lbf/100ft2) DESIGN BLEND SLURRY Name : 12# LiteCRET Mix Fluid : 8.200 gal/sk Job volume: 193.1 bbl * Dry Density : 112.131b1ft3 Yield : 2.46 ft3/sk Quantity : 439.95 sk Sack Weight: 1511b Porosity :44.5% Solid Fraction : 55.5% BASE FLUID Type : Fresh water Density : 8.32 Ib/gal Base Fluid : 8.200 gal/sk Code D046 D065 D167 B155 Additives Cone. 0.300 %BWOC 1.000 %BWOC 0.350 %BWOC 0.050 %BWOC Function ANTI FOAM DISPERSANT FLUID LOSS RETARDER Thickening Time Schedule 3G2 100 Bc Compressive Strength Schedule ( ) 2070 psi Section 5: centralizer placement Top of centralization :4400.0 ft Bottom Cent. MD :9700.0 ft Casing Shoe :9720.0 ft at at 03:43 hr:mn 24:00 hr:mn Page 6 Star_#2-PTD.cfw; 06-29-2004; LoadCase3,5inch Production Casing (a); Version wcs-cem441_51 Client Well String District Country Loadcase : UNOCAL STAR #1 3.5 Kenai USA 3.5inch Production Casing (a) NS of Cent. Used :115 NS of Cent. :115 Bottom MD (ft) 5520.0 9720.0 Nbr. 10 105 Cent. / Joint 1/3 1/1 Cent. Name Code Min. STO (%) NW-PO-3 1/2-4-POT 5 NW-PO-3 1/2-4-POT 5 W219 W219 0.0 4.5 (ft) 5488.0 5840.0 Centralizer Description Cent. Name Code Casing Max. Min. OD Rigid OD OD (in) (in) (in) NW-PO-31/2-4-POT W219 31/2 6.041 6.041 Yes 5 Origin Centralizer Tests Hole Size Running Restoring (in) Force Force (Ibf) (Ibf) NA NA NA Hannover (1) - Centralizer performance data is based on tests by WEATHERFORD as per the current API10D specifications Running Calculations: Block Weight Friction Centralizer/Formation Total Drag Force Hook load Down Stroke Hook load Up Stroke :120 ton :0.3 :4tol"l :152 ton :161 ton ft 0- o ?n Between Cent. ...i~ Cent. o o 0- "'" o 0- o N Standoff Section LLCL Nil ulator Page 7 Star_#2-PTD.Cfw; 06-29-2004; LoadCase 3.5inch Production Casing (a) ; Version wcs-cem441_51 Client Well String District Country Loadcase : 0- o o 0- """ ,::::;¡ o - o N ..,.....- UNOCAL STAR #1 3.5 Kenai USA 3.5inch Production Casing (a) ft % 60 I 100 I $1:<::1 Bet.». Cent. Cement Covera!~e Risk Mud 00 the Wall Fluids Concentrations v v \) v i i :: § 4':100 4,5.00 ~DOO 5000 5-~OO 5~00 6000 6000 S:'OO 61>00 7000 ..t 7,500 "i.. 11/ 0 800a -I'!MO 9000 9500 ! .. "" 4> OJ "" 'Ð "e 'Ð 0 "e i i i .. ¡¡ \) :: High Low #4 Base 0ìI MUDPUSH II Medium None 121ì LiteCRETE C\I/ 1 01 Page 8 Star_#2-PTD,cfw; 06-29-2004; LoadCase 3.5inch Production Casing (a) ; Version wcs-cem44í_5í . . I Halliburton BAROID UNOCAL Mud Program ! BAR olD UNOCAL Star #1 Kenai Peninsula, Alaska Baroid Mud Program Halliburton Baroid Name (Printed) Signature Date Originator Dave Higbie Reviewed by Don Shaw I John Rose Customer Approval Rob Stinson Version No: Date: 1.1 June 29, 2004 Star #1 v1.1 06/29//04 . . I Halliburton BAROID UNOCAL Mud Program Star #1 Exploration Introduction: The following mud program was prepared for an exploration well on the Kenai Peninsula, Alaska. This well will be spudded with a 6% KCI drilling fluid and be drilled vertically to the 1,500' MD range. It will be drilled with a 12 %" hole size, cased with 9 5/8" and cemented. The surface casing will be drilled out with the existing mud system. The 8 W' interval will then be drilled vertically to section TD at -4,500' MD. Seven inch casing will be run and cemented at this depth. The 7" will be drilled out with an INVERMUL system and a leak off performed. A 6 1/8" hole will then be drilled to TD at -9,720'. A 3 W' production liner will then be run and cemented in place. Spud the well with a 6% KCI/PHPA mud - 8.6 ppg. The mud weight will then be held in the 8.6 - 8.9 ppg mud weight range to the surface hole TD unless hole conditions dictate otherwise. Our primary focus for surface hole drilling operations will be adequate mud weight for well control and sufficient mud viscosity for efficient hole cleaning. This spud mud is formulated with two mechanisms to provide waste minimization and effective wellbore stabilization, ionic inhibition (KCI),and polymer encapsulation (PHPA). This same 6% KCI/PHPA mud will be maintained through the intermediate interval. This mud offers good LCM responses if losses are encountered. Special emphasis should be placed on maintaining low ECD's and surge/swab pressures to minimize the potential for lost circulation. The production interval will begin with an 80/20 OWR (if available) used oil base fluid. The ratio will then slowly be raised to 90/10 by 10,000' to reduce rheological parameters. CaCllevels will be maintained in the 290,000 - 320,000 ppm WPS range. The mud weight will be held in the 9.2 -9.6 ppg range or as required for hole stability. Primary DrillinQ Objectives: · Zero fluid related HSE incidents · Achieve wellbore stability · Achieve good hole cleaning considering hole angle, geometry and anticipated ROP rates · Lost circulation mitigation/control · Achieve good Zonal Isolation as per plan · Achieve minimal formation damage in Tyonek sands · Minimize fluids related NPT · Minimize drilling wastes Critical Fluid Issues: . Eliminating/controlling losses. · Maintaining a low ECD in the production zone to reduce risk of lost returns. · Maintaining a stable wellbore through coal seams. · Reducing drilling wastes with the inhibited drilling fluid system. Star #1 v1.1 2 06/29//04 De~ Vlscosltv Plastic Vlscosijy 0-1500' 8.6 8.9 60 - 85 6 -16 System Formulation: 6%KCI, EZ Mud Product Concentration Water 0.905 bbl KCI 20 ppb (30K chlorides) KOH 0.2 ppb (9 pH) Barazan D 1.25-1.5 ppb (as required 35 YP) EZ Mud DP 0.75 ppb Aldacide G 0.1 ppb Saracor 700 1 ppb Barascav D 0.5 ppb (add as the well spuds) . I Halliburton BAROID Well Specifics: UNOCAL Casing Program Star #1 12 %" hole (9 5/8" casing) 8 Yz" hole ( 7 " casing) 6 1/8" Hole (3 %" liner) Surface Hole Recommendations Mud Type: 6%KCI, EZ Mud Properties: Special Mixing Instructions: . Mix in order as listed . Add polymers slowly to minimize fisheyes. Concerns and Contingencies Surface Interval - ( 0 - 1.500' MD ) Mud Type: 1. Mud weight: 2. Rheology: 3. Filtrate control: 6 % KCI/PHPA . Mud Program MD TVD Footaqe -1500' 1500' 1500' -4500' 4500' 3000' 9720' 9200' 5220' Yield Point 25 - 40 mE!: N/C mi 8.5-9.0 Maintain the 8.6 - 8.9 ppg density or as directed. Maintain a YP between 25 - 40 or as needed to achieve adequate hole cleaning.. No filtrate control is required prior to reaching 1500' MD. Additions BDF-263 may be required to control screen blindinglbit balling. Seepage losses in this interval can be controlled with additions of 3-5 ppb BAROFIBRE or by dedicated LCM pills but are unlikely to occur. Operations Summary: This section will drill a 12 W' hole. Build the 6% KCI fluid in the proper order of addition. Maintain a reduced pit volume during spud as losses are not expected in this section. Be prepared for sloughing gravels in the upper interval; increasing the system rheology with BARAZAN-D/N-Vis will assist in bringing this material out of the well, as will pumping dedicated high-viscosity sweeps. It is recommended that the pump rate be increased to the maximum practical rate while the hole is unloading gravel. Sweep Formulation: 30 barrels mud (500' annular coverage), add ca. 1.0 ppb BARAZAN D to achieve a tauO > 25. When penetrating high-clay content sections additions of BDF-263 ester are recommended to reduce the incidence of bit balling and shaker blinding. Star #1 v1.1 3 06/29//04 I Halliburton BAROID . . UNOCAL Mud Program Be prepared to increase the YP if hole cleaning becomes an issue. Run DFG (Drilling Fluid Graphics) to confirm hole cleaning efficiency based on current rheology, flow rates and cuttings size. At TD, a Wall nut or carbide "flag" (20 bbl pill with 15 ppb of Wallnut F) should be pumped to gauge hole washout and to calculate the required cement volume. The cement will then be pumped and drilling mud will be used to bump the plug. Pretreat this chase mud with 1 ppb Bicarb and 0.5 ppb citric acid. Hazards I Concerns - Surface Interval: · Preventing lost circulation through ECO management. · Optimize solids control equipment to maintain density, sand content, and reduce the waste stream. · Maintain YP between 25 - 40 to optimize hole cleaning and to control ECO. · Pump high viscosity sweeps to enhance hole-cleaning efforts. Monitor sweep effectiveness. · Successfully cement casing. Maximum Acceptable ROP in fph at Specified GPM and RPM GPM~ 550 600 650 80 rpm 181 208 242 100 rpm 181 208 242 Baroid's recommended flowrate for this interval is 550-650 gpm to maximize hole cleaning at high penetration rates. RPM's have no effect on hole cleaning in this vertical section. Intermediate Hole Recommendations Mud Type: 6%KCI, EZ Mud Properties: Der, Voscos;ty Plast;c Voscos;ty 1,500-4500' 8.9 ~ 40-53 6-15 System Formulation: 6%KCI, EZ Mud Product Concentration Water 0.905 bbl KCI 19.8 ppb (30K chlorides) KOH 0.2 ppb (9 pH) Barazan D 1.25 ppb (as required 35 YP) Dextrid 1-2 ppb EZ Mud DP 0.75 ppb Aldacide G 0.1 ppb Baracor 700 1 ppb Barascav D 0.5 ppb (maintain per dilution rate) Yield Point 13 - 20 API FL <8 m:! 8.5-9.0 Special Mixing Instructions: . Mix in order as listed . Add polymers slowly to minimize fisheyes. Star #1 v1.1 4 06/29//04 . . I Halliburton BAROID Concerns and ContinQencies UNOCAL Mud Program Intermediate Interval- ( 1500 - 4500' MD ) Mud Type: 6 % KCI/PHPA 1. Mud weight: 2. Rheology: 3. Filtrate control: Maintain the 8.9 - 9.2 ppg density or as directed. Maintain a YP between 13-20 or as needed to achieve adequate hole cleaning. Add Dextrid and/or Pac L to reduce filtrate to the <8 cc/30 min range. Additions of BDF-263 may be required to control screen blinding/BHA balling. Losses in this interval can be controlled with additions of -2 ppb BAROFIBRE and -2 ppb of Baracarb 50 or by dedicated LCM pills; see appendix for LCM decision tree. Operations Summary: Drill out the cement/casing with the existing mud system. Bicarb or soda ash and citric acid should be used to pretreat for any negative effects of the cement. BARAZAN-D/N-Vis should be used to maintain rheological parameters. Maintain the mud as clean as possible while drilling. Should sweeps be required a BAROLlFT sweep is recommended (check with the G&I plant to ensure compatability). This sweep will help clean the hole with no neQative impacts on system mud weiqht or rheoloQV. Daily additions of X-Cide 207 or Aldacide G should be made to control bacterial action. Sweep Formulation: 25 bbl of mud with .25 ppb of Barolift added. Shear thouroughly prior to pumping. Dextrid and/or PAC L should be used for filtrate control. While drilling, monitor the torque and drag to determine if liquid lubricant is required. When penetrating high-clay content sections additions of BDF- 263 are recommended to reduce the incidence of bit balling and shaker blinding. Maintain the pH in the 8.5 - 9.0 range with caustic soda. The system rheology may be relaxed as hole conditions allow. This will lower the ECD for any weak zones which are encountered. However, be prepared to increase the YP if hole cleaning becomes an issue. Run DFG (Drilling Fluid Graphics) to confirm hole cleaning efficiency based on current rheology, flow rates, angle and cuttings size. Ensure that the mud weight is maintained as low as possible through this area. However this is an exploration well so monitor all kick warning signs at all times. Stress slow pipe movement to the drillers to reduce surge/swab on this fragile zone. Stage pumps on slowly after connections and begin rotation prior to pumping (this will break the gels and reduce the pressure required to break the gels). Should all these efforts fail and losses occur, please refer to the LCM decision tree appendix. If the losses are still high (above 30 bbl/hr static) after attempting an LCM pill, STOP running the fluid as a KCI/EZ Mud system. All additions of these products should be halted and allow the system to slowly break back to an LSND system. Run the fluid loss and rheology as with the inhibited system. When running the LSND, stop addtions of Baracor and Barascav D when the chlorides drop below 6,000 ppm's. All pit monitoring devices should be watched closely as this zone is cut. Maximum Acceptable ROP in fph at Specified GPM and RPM GPM~ 450 500 550 80 rpm 163 189 211 100 rpm 187 209 230 Baroid recommends a flowrate in the 500 gpm range to maximize hole cleaning efficiencies at these high penetration rates. However if losses occur, the flow rate can be lowered while reducing the penetration rate which would lessen the ECD/losses. Star #1 v1.1 5 06/29//04 . . I Halliburton BAROID UNOCAL Mud Program Reduce system YP with Therma Thin as required for running casing as allowed (do not jeopardize hole conditions). Run casing carefully to minimize surge and swab pressures. Reduce the system rheology once the casing is landed to a YP < 20 ( check with the cementers to see what yp value they have targeted). The plug will be bumped with mud. If operation~ allow, the plug can be bumped with OBM. Hazards I Concerns -Intermediate Interval: · Preventing lost circulation. · Optimize solids control equipment to maintain density and sand content. · Maintain YP between 13-20 to optimize hole cleaning and to control ECO. · Pump high viscosity or Barolift sweeps to enhance hole-cleaning efforts. · Successfully land and cement casing. Production Hole Recommendations System Formulation Product Base Oil EZ MUL NT INVERMUL GEL TONE V Lime DURATONE RM63 Water CaCI2 AK-70 BAROID Concentration 0.696 bbl 4 ppb 4 ppb 4 ppb 5 ppb 4 ppb 0.5 ppb 0.178 bbl 24.6 ppb 4 ppb to a 9.2 ppg Mud Type: Invermul System Mud Properties Density Viscosity PV YP ES ,HTHP FL 4500 - 9720 9.2-9.3* 55 - 80 18 - 29 9 - 18 1000- <5 1100 Additional mud weight may be required for effective coal or shale stabilization or gas shows. WPS 290 to 320K 80/20- 90/10 OIW · System Formulation Product Base Oil EZ MUL NT INVERMUL GEL TONE V Lime DURATONE RM63 Water CaCI2 AK-70 BAROID Concentration 0.696 bbl 4 ppb 4 ppb 4 ppb 5 ppb 4 ppb 1 ppb 0.178 bbl 24.6 ppb 4 ppb to a 9.2 ppg Star#1 v1.1 6 06/29//04 . . I Halliburton BAROID Concerns and ContinQencies UNOCAL Mud Program Production Interval (6 1/8" hole, 3.5" casinQ ): 4500' MD - TD Mud Tv..: ~pg INVERMUL System. 1. Mud weight: Maintain the density at 9.2 ppg or as directed to TO. Use solids control and whole mud dilution to maintain the weight. Increase density as required for well control, hole stability or coal sloughing. Maximize solids control usage. 2. Rheology: Maintain a YP between 9 and 18. Pump high viscosity or Barolift sweeps throughout the interval as needed, particularly prior to POH for casing. Optimized mud rheology and flow rate will be the primary mechanisms for achieving hole cleaning in this wellbore. 3. Other issues: The use of good drilling practices to minimize excessive swab and surge pressure should be employed to minimize the chances for losses and differential sticking. Please see the Coal Drilling recommendations attachment. Operations Summary: The water base mud system will be displaced prior to drilling cement (unless operations can be worked out to bump the plug with the Invermul). Approximately 600 bbls of oil mud will be required for displacement. If used mud is available, recondition at the rig and displace into the wellbore. Prepare the pit system for the INVERMUL as follows: · Clean pits, solids control equipment, all lines and pumps. · Flush all lines with a small volume of oil and discard. · Disconnect all water lines to the pit area and rig floor. · Check all steam fittings in pit room for leaks and repair as needed. Once the shoe has been drilled, displace the well to the ENVIROMUL system designated for this interval of the well. Pump a 25 bbl spacer ahead of the oil mud as follows: Spacer Formulation: · 20 barrels of the OBM treated with GEL TONE to a YP > 30 (app. 4-6 sx). Weight this pill to 2 ppg over the OBM weight. · Follow with the INVERMUL mud system. Displacement procedure: · Monitor pump strokes to obtain correct displacement. · Maintain maximum pump rates. · Have the bit on bottom as the oil mud exits the bit. · Reciprocate the drill string by one joint every 15 minutes · Rotate the pipe as rapidly as allowed during the actual displacement. · Do not shut down during the displacement. · Use an E.S. meter at the flow line to determine when the fluid is water free enough to start taking the returns back into the system. An ES of 300-500 should be sufficient to indicate when displacement is complete. A retort should also be run at this time to confirm fluid quality. . Clean possum belly and any troughs which were used. Star #1 v1.1 7 06/29//04 . . I Halliburton BAROID Maintenance: UNOCAL Mud Program 1. Additions of Geltone V and RM-63 will maintain/modify the system rheology to a YP between 9 and 18 to provide effective hole cleaning while controlling ECD and surge/swab pressures. Run the rheology checks at flowline temp until -6800' then at 120°F to TD. This will give a more accurate reflection as to the rheology the hole is experiencing. 2. OMC 2 and OMC 42 will be available to condition (thin) the mud as required; however, caution should be used when using these oil mud thinners (particularly the OMC-2) to avoid over-thinning the system. 3. Drill this interval with a tight DURA TONE HT / AK-70 filtration mechanism « 5 cc/30 min @ 2000 F to TD). Barablok and Barotrol will also be available to improve the filtration control mechanism. 4. For formation bridging/LCM, graded calcium carbonate (Baracarb(s)), cellulose fiber material (Barofibre) and SteelSeal are available. 5. The electrical stability of the mud should be run in the 1000-1100 volt range with INVERMUL and EZ MUL as the primary and secondary emulsifiers. DRILTREAT will be available as an effective wetting agent, if needed. One drum of Driltreat should be ran in slowly if weighting up. 6. Maintain the water phase salinity between 290,000 - 320,000 mg/I range with sack calcium chloride. This level of salinity will provide an effective mechanism for good wellbore stabilization. 7. The excess lime content will be maintained in the 3 ppb range to provide an effective reserve alkalinity source and to improve the emulsion stability of the mud system. 8. The initial oil:water ratio will be 80:20. However if the O/w ratio is higher in the used mud do not adjust it down. From there, the system will be maintained with base oil allowing the ratio to drift to the 90: 1 0 range by TD. This will help reduce the cost of the original fluid and then help control rheology/ECD's with the 90: 1 0 ratio in the lower depths of the well. Suggested Drilling Parameters Pump rate and drill string rotation should be optimized through the real-time use of the DFG software for the actual ROP while drilling. The table below highlights the maximum ROP recommendations above which hole cleaning will become an issue. Maximum Acceptable ROP in fph at Specified GPM and RPM GPM- 200 250 300 60 rpm 188 223 247 80 rpm 214 257 274 ROP rates above these levels or with no (sliding) rpm will require an increased frequency of the following remedial hole cleaning practices: · wiper trips · back reaming · extended periods of circulation (with maximum pipe rpm, targeting> 60 rpm) · hole cleaning sweeps (change flow regime of base mud by using fibers, density or rheology for carrying capacity) · connection practices - employing extended gpm, rpm and back reaming during the connection Star #1 v1.1 8 06/29//04 . . I Halliburton BAROID Sweeps Two types of hole cleaning sweeps can be used: . Increase the sweep density with SWEEPWATE to 2 ppg over system density. The SWEEPWATE will increase the sweep carrying capacity yet will be removed at the shakers; this will result in no density increase from running weighted sweeps. . To reduce the density/viscosity build up in the system, sweeps can be built by adding 0.25 ppb BAROLlFT in place of clay. The fibrous BAROLlFT will be removed at the shakers. UNOCAL Mud Program Note: Properly size all sweeps for 300 - 400 ft of annular coverage Supplement the hole cleaning of the drilling fluid as dictated by hole cleaning indications. Monitor all sweeps pumped and report on their effectiveness. The objective of the sweep is to change the flow characteristics / carrying capacity that is inherent with the mud system. Select sweep type accordingly. Coal Drilling The following lessons were learned from extensive experience drilling coal seams in Cook Inlet. The hole stability risks when drilling coal seams are often high, and the fluid design and drilling operations have been optimized to combine reduced risk with reduced costs. The need for good planning and drilling practices is also emphasized as a key component for success. · Keep the drill pipe in tension to prevent a whipping effect which can disturb coal sections. · Use asphalt-type additives to further stabilize coal seams. · Increase fluid density as required to control the running coal. · Emphasize good hole cleaning through hydraulics, ROP and system rheology. In the event that sloughing coal is encountered, consider spotting a 30 ppb BAROTROL pill across the coal seam. The pill can be safely "squeezed" into the coal by closing the bag and applying pressure not to exceed the total annular pressure loss ( based on ECD values using the DFG software). System density increases can also be employed in increments of 0.5 ppg. Solids Control Equipment Maximize the use of all solids control equipment to ensure that the solids content of the system is kept to a minimum during this interval. 1. Run the shale shakers with as fine a screen size as possible. · Size shakers screens with coarse mesh initially · Adjust screen size as solids loading, mud rheology and flowrates allow · Inspect the shakers frequently, taking time to repair / replace damaged screens 2. Maximize the use of the centrifuge, keeping the fluid as clean as possible. Running Casing I Cementing Preparation Monitor hole fill/returns closely while running the liner to insure losses haven't occurred. Refer to Baroid's DFG+ program if calculated surge/swab values are needed. Condition the mud prior to the cement job. Displace the cement with base diesel oil - ensure availability. Star#1 v1.1 9 06/29//04 . . I Halliburton BAROID UNOCAL Mud Program Losses UNOCAL Lost Circulation Decision Tree f/lnhibited Mud Systems + + + + Seepage Partial Severe Total 15·60 bbl/hr 5·10 bbl/hr Static Static 60·200 bbllhr Static > 200 bbl/hr Static + + . . + I Treat Active System I I Treat Active System I /60-150 bbVhr Static I 1150-200 bbllhr Static I Drill Across Fault with 5 sxlhr Barofibre with 1 0 sxlhr Barofibre + + + r Drill Across Fault I I Drill Across Fault I Pump Gunk Squeeze + pill to allow POH 100 ppb LCMlMud Pill: (Volume to be Yes Yes 20 ppb Baroseal F . determined based ~ + 20 ppb Baroseal M upon losses 30 ppb Barofibre I Contact Drilling Engineer I + I Drill Ahead I I Drill Ahead I 20 ppb Wallnut M or Engineer on call No 10 ppb Wallnut F Contact Drilling I h1u""" Jt,¡, ",rll\J I No + Engineer or Engineer , on call 5 sxlhr Barofibre 70 ppb LCM/Mud Pill: I Contact Drilling Engineer or I y + 5 ixlhr BVacarb 50 Engineer "On Call" 20 ppb Baroseal F Pump Gunk I POH, PU dumb iron I 20 ppb Baroseal M Squeeze pill BHA 20 ppb Barofibre (Volume to be + 10 ppb Wallnut M determined based Yes upon losses) + Consider cement I I Drill Ahead I No plugback contingency y 40 ppb LCMlMud Pill: . Yes 10 ppb Baroseal F + Pump Gunk 10 ppb Baroseal M I Drill Ahead I Squeeze pill 10 ppb Barofibre No 10 ppb Wallnut M , Contact Drilling ( '\ Engineer or Engineer Notes: on call to determine if 1) Drill across fault or loss zone 1.5 - 2.0 times the length of the Yes additional LCM throw before spotting Gunk Squeeze. + treatments are to be 2) PBl sub should be run in BHA to spot pills if 'Partial loss' cases or made or to proceed to above are anticipated prior to drilling to allow the spotting of lCM I Drill Ahead Gunk Squeeze pill pills 3) lCM ~II volume = 300'·600' column based upon actual hole No diameter. , 4)PRIOR TO ANY lCM Pill, APPROPRIATE DISCUSSIONS AT Proceed to 'Partial THE RIG MUST BE MADE TO MINIMIZE THE POTENTIAL FOR Losses' Pill PLUGGING THE DRill STRING. \ ) Star #1 v1.1 06/29/104 11 I Halliburton BAROID Losses + Seepage 5·20 bbllhr Static .. Treat Active System with 5 sx/hr Baracarb 50/150 Yes ¡ I Drill Ahead I No .. Increase Treatment to 10 sx/hr Baracarb 501 150 .. No , Yes + Drill Ahead 20 ppb LCM/Mud Pill: 20 bbls base mud 10 ppb Baracarb 50 10 ppb Baracarb 150 Yes + r Drill Ahead I No , Proceed to 'Partial Losses' Pill Star #1 v1.1 06/29//04 . UNOCAL . Mud Program UNOCAL Lost Circulation Decision Tree fl Payzone Mud Systems + Partial 20-60 bbl/hr Static , Treat Active System with 10 sx/hr Baracarb 150 Yes + I Drill Ahead I No , 50 ppb LCM/Mud Pill: 20 bbls Base mud 10 ppb Baracarb 25 20 ppb Baracarb 50 20 ppb Baracarb 150 Yes + I Drill Ahead I No , Contact the Engineer on call to determine if additional LCM treatments are to be made or to proceed to reverse gunk squeeze pill Severe 60·200 bbl/hr Static + + + I 60-150 bbl/hr Static I 1150-200 bbl/hr Static I + + I Drill Across Fault I I Drill Across Fault + + 100 ppb LCMlMud Pill: 20 ppb Baroseal f 20 ppb Baracarb 50 30 ppb Barofibre 20 ppb SteelSeal 10 ppb Baracarb 150 + I Contact Drilling Engineer or I Engineer "On Call" " Pump reverse gunk squeeze pill (Volume to be determined based upon losses Pump reverse gunk squeeze pill to allow POH (Volume to be determined based upon losses) ¡ I Contact Drilling Engineer I or Engineer on call + Total > 200 bbllhr Static + Drill Across Fault + Pump reverse gunk squeeze pill to allow POH (Volume to be determined based upon losses , Contact Drilling Engineer or Engineer on call l . Plan to pump a second 50-80 bbl reverse gunk squeeze pill if massive losses continue. Consider cement I plugback contingency ( \ 1 )UNOCAL must approve any steps past PARTIAL losses. 2) Drill across faun or loss zone 1,5 - 2,0 times the length of the throw before spotting reverse gunk squeeze pills. 3) PBl sub should be run in BHA to spot pills if 'Partial loss' cases or above are anticipated prior to drilling to allow the spotting of lCM pills, 4) lCM pill volume = 300'-600' column based upon actual hole diameter, 5)PRIOR TO AAY lCM Pill, APPROPRIATE DISCUSSIONS AT THE RIG MUST BE MADE TO MINIMIZE THE POTENTIAL FOR PLUGGING THE DRill STRING. ~ / ]2 . . I Halliburton BAROID DrillinQ Fluids Proaram Synopsis UNOCAL Mud Program General Discussion A KCI drilling fluid will be used to drill the surface and intermediate hole sections of these wells. This fluid offers hole stability, waste reduction and many options to address/prevent lost circulation. This fluid will yield a more gauge hole which reduces the waste (both while drilling and for cement jobs). This gauge hole, however, can also lead to challenges with swabbing on trips. The production hole will be drilled with an INVERMUL system. This oil based fluid will offer added hole stability and lubricity for this section with the added benefit of lowering waste stream costs. Please refer to the mud program for details. SUQaested Fluids Properties Surface Hole (12.25" hole to 9 5/8" casing point at 1,500') Mud Type: 6%KCI, EZ Mud Properties: Dens~tr' Viscosity Plastic Viscosity Yield Point API FL Jili 0-1500' 8.6 -Tq,/ 60 - 85 6 - 16 25 - 40 N/C 8.5-9.0 Comments: This inte~will be drilled with a 6% KCI, EZ Mud fluid. Primary focus for this intervel will be adequate hole cleaning for the large diameter (12 ~") hole and maintaining the drill solids I mud weight. Intermediate Hole (8 %" hole to 7" casing point at 4,500' ) Properties: Viscosity Plastic Viscosity Yield Point API FL 1,500 - 4500' 40-53 6 -15 13 - 20 <8 Comments: The mu stem from spud will be conditioned and used to drill this section. primary importance. An LCM decision tree is attached should losses develop. Jili 8.5-9.0 Maintaining low ECO's is of Production Hole (6 1/8" hole to 3 %" casing point at 9,720' ) Properties Detz· - l Viscosity PV YP ES HTHP FL 9.29. 55-80 18-29 9-18 1000- <5 / 1100 Additional mud weight may be required for effective coal or shale stabilization or gas shows. 4500 - 9,720 WPS 290 to 320K 80/20- 90/10 o/W . Comments: The well will be displaced to an INVERMUL system prior to drilling out the 7" casing if rig ops didn't allow bumping the plug with OBM. This will be used mud from previous wells. Maintaining a clean, low solids content and raising the OWR to 90/10 prior to TO will keep the rheological profile low and reduce chances of lost circulation, excessive pump pressures, and lay down a thinner more durable wallcake. Maintain the mud weight as programmed but be prepared to weight up if hole conditions warrant. Maintain the 2000 HTHP fluid loss <5 to TO. Star #1 v1.1 06/29//04 13 ,. " . . ,. ~. . ,. . 800K0297 fÌ~GE885 MEMORANDUM OF OIL AND GAS LEASE - C-061591 This Memorandum of Lease is intended to give notice of a Lease styled OIL AND GAS LEASE effective as of December '" ì , 1999 by and between Cook Inlet Region, Inc. (CIRI), an Alaska corporation, as Lessor, and Union Oil Company of California (Unocal), as Lessee. Pursuant to the terms of said Lease, Lessee has the exclusive right to explore for and the exclusive right to produce and market oil, gas, and associated hydrocarbon substances uritil lease expiration on December /1 I 2003 unless sooner terminated, on the lands described on the attached Exhibit A (the Subject Lands). The Lease also provides for the Lessee to maintain the lease for so long thereafter as Lessee is producing oil, gas or associated hydrocarbons in paying quantities therefrom, and on· such other terms ·and conditions as set forth in the Lease. This Memorandum is intended to summarize some of the provisions of the Lease but in no way changes, modifies or otherwise affects any provision of the lease. Further information regarding the Lease may be obtained from the parties at the following addresses: Union Oil Company of California P.O. Box 196247 Anchorage, AK 99519-6247 Attention: Land Manager Cook Inlet Region, Inc. 2525 C Street, Suite 500 Anchorage, AK 99503 Attention: Vice President Executed this 17 day of December, 1999. ~~:;on OIl.7:~Y\O;;;~~. ~Tabler Its: Attorney-in-Fact Cook Inlet Region, Inc. By: vi J ¡vlA- Kir'¡M~Gee . -rfã: Vice President Homer Recording District PLEASE RETURN TO: KEVIN TABLER UNOCAl ALASKA RESOURCES 909 WEST 9TH AVENUE P.O. BOX 196247 ANCHORAGE, AK 99519-6247 MEMORANDUM OF OIL AND GAS LEASE - C-061591 Page 1 ... . :,. '~:. : .. eODK0297 r~G[BB6 STATE OF ALASKA ) , . ) 55. THIRD JUDICIAL DISTRICT) . On this /tJ-t\-day of ~ 1991-, before me the undersigned, a Notary Public in and for the District and State, personally appeared Kevin A. Tabler known to me to be the person whose name is subscribed as ATTORNEY-IN-FACT for Union Oil Company of California, and acknowledged to me that he or she executed the within instrument as the act of his or her principal for the purposes therein contained. IN WITNESS WHEREOF, I·have hereunto set my hand and official seal the day and year first above-written. "'\'111 $\\\\\\\.1 IIIIIII!¡¡. ~~~~..~·:..1~ ~o...,· ....~~ ~....,... '~'Ç.~ ~ t NOTARy\Nª g. \prrnLTC ¡ ~ ;:;; . va ~1 . ~ ~ % <fI;'.. .... T~ 'Ø ";f " .' '" ~ ~ l'i···....···~s~ ~ ~111~r,I\~~\\\# STATE OF ALASKA ) ) ss. TH)RD JUDICIAL DISTRICT) rx:.. . On this 17- day obd-...¿..ø....!.¿Æ"""'; 1991'-, before me the undersigned, a Notary Public in and for the District and State, personally appeared Kirk McGee known to me to be the person whose name is subscribed as Vice President for Cook Inlet Region, Inc., and acknowledged to me that he or she executed the within instrument as the act of his or her principal for the purposes therein contained. ~ 'õYt. Notary Public in and for My Commission Expires: IN WITNESS W, HEREOF, I have hereuntotet Zy h nd and official seal the day and year first above-written. A '~) . J-~./ . . '~ . . Notary ublic in and for ,d;tz:..,"'¡ &~þ~ ~ OF FfC,"":L SEAL My Commission Expires: 0 1-..J¿, -¿II State of Alaska HAZEL J. FELTON NOTARY PUBLIC My Commits"," bp"lS 8ft,I. 2&, 200 1 .-'", .....-;.......... MEMORANDUM OF OIL AND GAS LEASE - C-061591 Page 2 .# . ~ I'.; . ., . . BODK0297 p~œBB7 MEMORANDUM OF Oil AND GAS LEASE EXHIBIT A - SUBJECT LANDS C-061591 legal Description Township 3 South, Range 13 West, Seward Meridian Section 5: lots 1 to 4 inclusive, Sl/2Nl/2, SE1/4, SWl/4; Section 8: All; Section 18: All. Township 3 South, Range 14 West, Seward Meridian Section 24; All. containing approximately 2,546.00 acres more or less. " '.:. ".~... '~'..-:.;¡ (. ò" <: ' ,,- (,.c·....';,' i ~ . !".,,. ,,"', j/' ' ir,,;.:::4Z: t-c<. t:·¡:;,~:"(._..__ C' . f-:¡::::~(~~:;:: ~~:~:::c:Jr:~;:.'· .. ._. ~. \;/:_ ,.~...___.___. '~'.M._·· ..,.-.~~-~ ~-' Da5~80 HOMER RECORDING DISTRICT MEMORANDUM OF OIL AND GAS LEASE - C-061591 ---,'..,---.,... _.-.. . -.-..----.....-.- ". r,?:. ,~.-''':'-. 1;'-"" ¡~ ' ~'~ ¡lie (}j,..rìLll....u.-. <..(! Cì [¿.Cð-E ~..L-{:,tJ.--' rqqq DEe 2q PI: 31 ~ /, ? REOUESTED BY ~ ~ ~-'7 ~ .c:.¿:;¿;.; ¿(e... Page 3 .... . . . 2004-002827-0 Recording Dist: 309 - Homer A 6/1812004 2:14 PM Pages: 1 of 4 L ~ IIIIIIIIIIIIIIIIIIIIII~IIIIIIIIIIIIIIIIIIIIIIIIIIIII~ A .. NOTICE OF SURFACE USE PERMIT Cl:.. c... This Notice of Surface Use Permit provides notice of the execution of a Surface Use Permit by and between Ninilchik Native Association, Inc. (NNAI), whose address is 701 West 41st Street, Suite 201, Anchorage, AK 99506-6604, and Union Oil Company of California, on behalf of itself and as a member of Kenai Kachemak Pipeline LLC (Unocal), whose address is, 909 W 9th Avenue, Anchorage, AK 99501, effective May 1, 2004. 1. Names and Addresses of the Parties: The names and addresses of the Parties to the Surface Use Permit are: Grantor: Ninilchik Native Association, Inc. 701 West 41st Street, Suite 201 Anchorage. AK 99506-6604 Grantees: Union Oil Company of California 909 West 9th Avenue Anchorage, AK 99501 Union Oil Company of California as a member of Kenai Kachemak Pipeline LLC 909 W 9th Avenue Anchorage, AK 99501 2. Date of the Permit: The Surface Use Permit was executed effective May 1, 2004. 3. Description of the Real Property: The Surface Use Permit grants Unocal and Kenai Kachemak Pipeline LLC certain surface access and use rights pertaining to the surface acreage owned by the NNAI shown on Exhibit A to this Notice and located within the Kenai Recording District and/or the Homer Recording District in the sections of land listed below: T. 2N., R.12W., Seward Meridian, AK Section 33; T. 2S., R. 13W., Seward Meridian, AK Sections 1, 2, 6, 7, 9-30, and 36; Notice of Surface Use Permit May 1, 2004 tf . . T.1N., R. 12W., Seward Meridian, AK Sections 8, 25, 26, 35 and 36; T. 2S., R. 14W., Seward Meridian, AK Sections 4, 9,10,12, and 13 T. 1 N., R. 13W., Seward Meridian, AK Section 13; T. 3S., R. 12W., Seward Meridian, AK Sections 6-9,16, 21,22, 27, and 34; T. 1S., R. 12W., Seward Meridian, AK T. 3S., R. 13W., Seward Meridian, AK Sections 2,3,9-16,21-29,31-33, and 35; Sections 1,11,12,14,15,21,22,28,29, 31, and 32; T. 18., R. 13W., Seward Meridian, AK Sections 2,7,11,15,20,29,30, and 31; T. 3S., R.14W., Seward Meridian, AK Sections 5, 22-28, 30, and 33-36; and T. 18., R. 14W., Seward Meridian, AK Sections 12, 25, and 35; T. 4S., R. 14W., Seward Meridian, AK Sections 21,29, and 32. T. 25., R. 12W., Seward Meridian, AK Sections 1-10,12-20,30 and 31; 4. Commencement and Termination: The Surface Use Permit is effective May 1, 2004, and terminates on the later of the following: (1) on March 1, 2054, or (2) the expiration of all oil and gas or gas storage leases in which Unocal is or may become an oil and gas or gas storage lessee of the subsurface estate of the Subject Lands, unless terminated earlier as provided in this Permit. This Notice summarizes some of the provisions of the Permit but in no way chang s, modifies or otherwise affects any provision of the Permit, l~J.ArI~ vin A. Tabler Attorney-in-Fact Union Oil Company of California (ft-If!)p t"\ý Date ~~\\\U"lfll ~..1. þ.. 81';. ~ ~ ~......-... S ~Q,.,~~,~ il '") ::t , ". == f NOTARY 1 ) Ss ~...\ PUBLICi ~ . ?;::T' . ~ .,~ Third Judicial District ) ~d'~;~~'!'''''~''·;Cf . ~ ê OF ~~ The foregoing instrument was acknowledged before me this 1 oth da/{q"'J\.'}~e, 2004, by Kevin A. Tabler, attorney in fact of Union Oil Company of California, a California corporation, on behalf of the corporation. ACKNOWLEDGMENT State of Alaska Q.L-L~A a..i~ . N~p~bíi; in and for the State of Alaska My commission expires: 2/14/06 Notice of Surface Use Permit 2 May 1, 2004 '1111111/11111I1" 2of. 2004-002827.0 ... . Homer Recording District 195 E. Bunnell Avenue, Suite A Homer, AK 99603 Kenai Recording District 120 Trading Bay Road, #230 Kenai, AK 99611 After recording please return to: .. Kevin A. Tabler Union Oil Company of California P.O. Box 196247 Anchorage, AK 99519-6247 Notice of Surface Use Permit . 3 May 1, 2004 If 111111/11111I111 30f 4 20Ð4-002827-G I UNOCALtf'Ø SURFACE USE PERMIT EXHIBIT A o ". Miles AI..... Slale Plane zone 4. NAD27 , \ 0 NNA Surfaoe Property o 2RT Surfa~ Properly -11111111111111111 40f 4 . . . ." ~""",:. , r-- I ~!~:~~\ , / ! /'- -- -- ---'--..:---,.--------------4-- I ---=-=-~~-- -~~=~=-±~--:-:: ".,:;,{/- = - cç-:N12W . / ' ..-'--'---~'---'--.u-'-:'-7 ! ____ / _~ SURFACE USE PERMITI ,7" ¡ EXCLUSION AREAS ./ ~;I"'ì ~~--,;7=U ------,-.-. J í ------: , .' c:...::::1 , ¡, ~ ,---.-:-T\..---- 1S1L:W~ -~. 1S13\1\ : ¡I' . j Li- i.~ {, ¡~ j ø;~/_·i I: t ~" ¡ 'rS j I ¡ 2S ¡.1 Ii\' I ~ / V -. j ,rL' _~_..____ : J ~ j~ --3S1SW / /. I U v' .I ¡: I ¡ , . {,.J. ' ¡ ! ; ¡ V I "-I! J- t ,.. : '-, ' '-ï'::S 1SV:V "" -L., I .,' ~,:.sy.W i -·--j ,_ / A",. ; ¡. 1= ! i, ::\::2 -_~_"] b+_ :': :>r~::, ,~-= 'r='" ' -~~j. ~~- ;-i:-t.~~ '"I l' . : 1 ~ .- ~--- -- "-_.-., -,_.. _.- ----.--. ,- .-. ".'--- -_..- -.--- ----------.--.- __, _ .___ f I ¡ I I 1 S 12W i .' ¡ . ¡ b :~, i _ ~! '",~. : .. , . is ,~¡U . i. Lj i L :-t---:f . I ì r I', : . . J-'li~1 ' :q U Lo~,,_! ,. ,~I,--r.-<~' ¡ ~B '. 2Sj3W I·. I .,4¡;!t ~S12W 1 , ¡. !, : " -~."/i ,; , \ : 1 I' -:-ï"1 ", ~ ., ' I I \ i ---" --'-.-'~---'-- -,-~--_. __r__ }~ -- - --------¡--' ~ ._..-'---'~ ¡ I ¡ ì -r-+3S12W :- ¡ , I J . . ! \ 3S1L:W : ¡ I I ¡ _. , I l ,.. ~..... I S 3S ¡-:;.h : ! .' -----". ¡ , "I '- i- ," -1 I . I ! 4S~?W "4 3 . ì I '----r5Sí5W ¡ . j __5S13W I r 5Sí4W --- ! j I I I '1 \ b 1.5 ;2N11W' I , ! . I, : I . ; 1N11W+- I . I I . Ii' I ¡ ! I i I' I . I '.' , I . . \ ! . I '. :' ~S11W-t i ( ¡ f ¡.~ j \ i 1 I '" , .- \ ¡''' !2~11W~ . I ~ ! .' 1.1 ¡ i I " I;' [ I .. I . i i ! i t- .W T- 1- !. " r· t r ," J ,~. '3S11W-T ! " I.. I" ! : \~, ::~ i - 1'" ,- "", \' '. 3 ...--.. -.----- - " . . . 200~-000059-0 Recording Dist: 309 . Homer ~ 1/6/2003 1 :49 PM Pages: 1 of 3 A : IIIIIIII~IIIII ~IIIIIIIIIIIIIIIIII"IIIII IIIIIIIIIIIII"IIIIIIIIIIII D MEMORANDUM OF OIL AND GAS LEASE ri\ V ~' This Memorandum of Lease is intended to give notice of a Lease styled OIL AND GAS LEASE effective as of \)~.._\oe..v 2-D, 2002 by and between Cook Inlet Region, Inc. (CIRI), an Alaska corporation, as Lessor, and Union Oil Company of California, as Lessee. Pursuant to the terms of said Lease, Lessee has the exclusive right to explore for and the exclusive right to produce and market oil, gas, and associated hydrocarbon substances until lease expiration on þ"'t..-.-\o..('" 20, 2005.1 unless sooner terminated, on the lands described on the attached Exhibit A (the Subject Lands). The Lease also provides for the Lessee to maintain the lease for so long thereafter as Lessee is producing oil, gas or associated hydrocarbons in paying quantities therefrom, and on such other terms and conditions as set forth in the Lease. This Memorandum is intended to summarize some of the provisions of the Lease but in no way changes, modifies or otherwise affects any provision of the lease. Further information regarding the Lease may be obtained from the parties at the following addresses: Union Oil Company of California 909 West 9th Avenue Anchorage, Alaska 99519 Attention: Land Manager Cook Inlet Region, Inc. 2525 C Street, Suite 500 Anchorage, AK 99503 Attention: Vice President Executed this 2.....0"""'- day of \) -<l t.,..~\^""\'O Q._.'¡-- ,2002. Union Oil Company of California By:c / , J~ ~r Its: Attorney-in-Fact Cook Inlet Region, Inc. By: Yo-v/ 4- Kirk ~;-ee Its: Vice President, Real Estate Return To: Kevin A Tabler Unocal PO Box 196247 Anchorage. AK 99519-6247 MEMORANDUM OF OIL AND GAS LEASE Page 1 "P" '" , . . . STATE OF ALASKA ) ) 55. THIRD JUDICIAL DISTRICT) On this al.t1 day of _~"',,-"; 2002, before me the undersigned, a Notary Public in and for the District and State, personally appeared Kevin A. Tabler known to me to be the person whose name is subscribed as land Manager for Union Oil Company of California, and acknowledged to me that he or she executed the within instrument as the act of his or her principal for the purposes therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above-written. ~\\\\\IIIIII/lIII//fj ~.:. {>... s~~ ~ ~ ~""""'" :.fA.~ ~ 9'.~··~1o,o¡&_··;~~ ~.;:) .' cPr oq,; '.'\;¿ ~ ;;:::'")..~ ~·.r~ .:::::: :< ~ ~ Ë !~()TAJt~¡ ~ _. UC'- ~. .;::: ~.\PUB ,.: ~ ~ <P/':'''lIb l' ?!f!:....~~ ~ ~f..............'1-C:J ~ ~/Jf OF þ..¡~~ STATE OF ALASKA 11!11/1~\\\'~ ) 55. THIRD JUDICIAL DISTRICT) .rj 4') f\ On this ~O day of ~rolrrbr2002, before me the undersigned, a Notary Public in and for the District and State. personally appeared Kirk McGee known to me to be the person whose name is subscribed as Vice President, Real Estate for Cook Inlet Region, Inc.. and acknowledged to me that he or she executed the within instrument as the act of his or her principal for the purposes therein contained. ~_._I:rð,~ N~~n and for .2 - / Ý - ~ G:, .4/~ My Commission Expires: c2-1 '1- () h IN WITNESS WHEREOFl.dtru!ft~reunto~t my ha, nd and officia~5e " th, e dpyand year first above-written.,-\.~.~~ . '.)?~ ;""~"Á"- r:J2!Î (¡tdJ·, )11'1 , I,," {£)1] , ~ ",,:-. ,~, . ~~ (;-! '~ -lOt ,I It'J ~ '--'" ~ 'q". ,~,.,. " '?C- " , - ~;E:' 0/ f ~'..-:~ Notary Public in and for M-t01. ~/\Z(J2.J :::. '£'. Z «-:J<'}'..,' 3.: ¡~ My Commission Expires: l - i - () (0 -:;:"6', .. ..b'\' ;-W~ ,,"/V' " $TA~U" -$-:::::: ~ . . . . . . ' . "<,-{f ,\' /..1..1 4+ CommisSi'JI' \ \ \\' /)J}j JJJ))1\' MEMORANDUM OF OIL AND GAS LEASE 111I1111I \11111~œlll 2 of 3 2003-000069-0 . .....- . . MEMORANDUM OF OIL AND GAS LEASE EXHIBIT A - SUBJECT LANDS C-Ð61612 Legal Description Township 3 South, Range 14 West, Seward Meridian, Alaska Section 22, All; Section 23, All; Section 25, All; Section 26, All; Section 27, All. containing approximately 3,200 ac~es more or less. ':;;~/:.:::~::?:.~'.,.,~,~>;::._:::. " ~~~~rtt~.·'· ,..,..:.", .~" ,\'.";,,.':. :.. :'-" .. 1# ...".."...9_ r"" ~. ,. .. '0: - ~...'t. ""4.~"!tð: ~ ~. ~'... ',~, 'Ç ;a~;' c... ~ i .. /I ::::: =,f~:~""'~\!~A~;~';:2>;i~~~l ,:[~~~f.~ ?t·'r·;:'·~·_:·, ,': r...~· ,";.. .~,.. œ!.l1 r,} .::~,~.~~ :,':.r~·.:<·:;..::~~;<,,: / '}" .':..:'.:'" '",> ," ::-:. t :.:~: t"~;· :·t~ ,>. .~. ::'r': ~:.. . ~~ -.;' - ~~~ .: .~.. "::"~~: ... , . ,.' . ~. '.":,: .:" .', .... ," . '.' ;~ ",:' ,-. ,ï: ::J . ~.~ ;...-........ "\.!.'~ .;..~:~:::.....:.:.~ .....;~ '~',',.,; -,..~.,,- ~'" 'm CJ3 IS~ tr.~~.':,.\ 'c' ._. _". . ~......~.__. - ..."'.,!.,"',."".";;~ - 'P.i~.. ~ , ....~'-'. ~ \.. ,'.. .. ~ . ø,AA/~· t~~ .\t':.{.~-~~ Ijy' MEMORANDUM OF OIL AND GAS LEASE I/lIlfllllllllllll hf3 2003.000058-0 .,.. CITIBANK DELAWARE A Subsidiary of Citicorp ONE PENN'S WAY NEW CASTLE, DE 19720 62-20 31T UNOCAL Pay Union Oil Company of California Accounts Payable Field Disbursing e 2007801 - Oné Hundred Dollars And 00 Cents************************************************************* To the order of , STATE OF ALASKA ALASKA OIL & GAS CONSERVATION COMMISSION 333 WEST 7tH AVENUE SUITE 100 ANCHORAGE, AK 99501 United States III 200 ?BO *111 1:0 ~ * 1.00 20 r:H: Date 29-JUN-04 Check Amount *******100.00 Void after six months from above dats. ~~ ~ g I. I. B I. ~ ? III D.A. PAGE JUN 2 9 2004 . . TRANSMIT AL LETTER CHECK LIST CIRCLE APPROPRIATE LETTER/P ARAGRAPHS TO BE INCLUDED IN TRANSMITTAL LETTER WELL NAME ~.¿,- 111 ~ PTD# 2.0 Y - / / 7 Development Service X Exploration Stratigraphic CHECK WßA T APPLIES ADD-ONS (OPTIONS) MULTI LATERAL ~'CLUE" (If API num ber last two (2) digits are between 60-69) Tbe permit is for a new weUboresegment of existing weD· , Permit No, . API No. Production. sbould continue to be reported as a function· of tbe original API number. stated above. PILOT (PH) HOLE In accordance with 20 AAC 25.005(1), aU records, data and logs acquired for tbe pilot bole must be dearly differentiated 'in botb name (name on permit plus PH) and API Dumber (50 70/80) from records, data and logs acquired for we)) (name on permit). SPACING EXCEPTION The permit is approved subject ·to fuD compliance witb 20 AAC 25.0S5~ Approval to peñorate and produce is contingeot upon issuance of ~ conservation order approviog a spaciog e:xceptioo. (Company Name) assumes the liability of any protest to the spacinge:xception tbat may occur. DRY DITCH AU dry ditch sample sets submitted to the SAMPLE Commission must be in no greater ·tban 30' sample intervals from below tbe permafrost or from where samples are first caught and ] 0' sample intervals through target zones. ~J:-;,/ £/3-,M¡1/G /~ ,y-/p.-7/e/ k j) r~ £:."'" -I5~ s;{..~e»J Æi!eØ~;,ß fe4D1 ~er ~r~~/_ q6 þòn~_. bku Field & Pool DEEP CREEK, TYONEK UNDEF GAS - 160500 Well Name: STAR 1 Program EXP Well bore seg PTD#: 2041170 Company UNION OIL CO OF CALIFORNIA Initial ClasslType EXP 12-GAS GeoArea Unit On/Off Shore On Annular Disposal 1 Permittee attacheJJ. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Yes. . . . . . . . . . . . . . . . . . . . . . . . .. ....... . . . . . . 2 .Leasenumberappropriate ...... .Yes.. ... .tCALLf;:O.uNOCA!"6/30AND.SPOK!:.TO.RQaSTENSQN.ASKI~GFORDQCUMENTATION.THATCIßI 3 .U.nlqUeweltn.ame.a!1dou.mb.er...................................... .Yes...... .tS.tH.E.QWNEßAND.LANDOWNER.QF.SECTJQ~S23,A.~024 :r:3$RHW,.ASWASREPRESE~lE.D.IN.T.H.E. 4 WelUocated ina defil1e.d pool . . . . . . . . . . . . . . . . . . . . . . No . . . . Ul1o.calrespOl1ded wlth coples of .lease agreements. withthe.lan.dOWl1er (CIRI)thatiodic;ate Un.ocal js. 1.00% WI . 5 WelUocated proper .dlstance from driJling ul1itb.oUl1dary. . .. ....... .Yes. . . . owner in .both Je.ases. both leas.es haveexpiœd the primary term .aod are now held by. p,rod.uctio!1.. Un.ocal also . 6 WelUocated pr.operdistance. from otber welJs . . . . . . . . . . . . . . . . . . . .Yes included asurfa.ce use agre.emeotJrpm.tbe. ~ioilcbik NatJve Asso.clation, su.rface. owner of .both section. 23 and. . 7 .S.utficieI1Lacreageayailable [ndrilJiog unjL . . . . . . . .Y.es . . . .24. RPC . . . . . . . . . . . . . . . . . . . , . 8 Jf.deviated, js. weJlbQre platil1cJuded .. ........ . . . . . . .Yes . . . . .. ....... . . . . .. ....... . . . . . . . . . . . . . . . . . . . . 9 .Operator on.ly affected party. .......................... Yes . . . . SEE ABOVE . . . . . . . . . . . . . . . . . . . . . . . . . .. .................... 10 .Operator has.appropriate.b.ond lnJorce. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Yes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Permitca!1belssu.edwjtboutconserva.tiOl1order.. ....... .Yes........... ...... ....... ...... ...... Appr Date 12 Permit c.a!1 be issu.ed wjtbout ad.mil1istrative.approvaL . . . . . . .Yes. . . . . . . . RPC 6/30/2004 13 Can permit be approved before 15-day wait Yes 14 WelUocated withil1 area an.d.strata .authorized by.lojectioo Order # {putlOtl in.c.omme!1ts).{For NA . . . . . . . . . . . . . . . . . . . . . 15 .AJI welJs. withln .1 l4.mile.area.of reyiew jd.eotified (For servjeewelJ Ol1ly). . . . . . . . . . . . . . . .NA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Pre-produced i!1jector; JJurationof pre-proJJuctiOl1less than. 3 mOl1tbs. (Forservlce well onJy). NA . . . . .. ....... 17 ACMP. fil1djng.of Conslste!1cy.h.as bee.nJssued for.this project ........ . . . . . . .NA . . . . . . . . . . . . . . Administration - - - - - - - - - - - - - - - .. - - - - - - - - - - - - - Engineering 18 .C.o!1du.ct.or strin.g.provided . . . . . . . . . . . . . . . . 19 Surface .casil1g. protects all.known. USDWs . . . . . . . 20 .CMTv.oladequ.ate.to circ.ulate.oncOl1d.uctor& su.rf.C$g . 21CMT v.ol adequ.ate.to tie-lnJong .stri!1g to.surf csg . . . . . . . . . . . . . 22CMTwiIJ cOYera]l kl1ow-".productiye horizons. . .. ...... 23 .C.asi!1g de.s[g!1S ad.eç ua.te for C. T" B& permafr.ost 24 AJJequatetan.kage.or re.serve pit . . . . . . . . . . . . . . . . . . . . . 25 Jfare-drilt hasa. 1.0A03 for abandon.ment beeo approved. 26 AJJequatewellbore.separatjo.n.proposed.............. 27 Jf.djverterreQ.uired, does jLmeet reguJatiol1s. . . . 28 .Drilliog flujd.program sc.hematic.& eQ.uipJistadequate. . . 29 .B0PEs,.dothey meet reg uJa.tio 11 . . . . . . . . . . . . . . . 30 .B.OPEpress ratiog appropriate; .test to (pu.t psig incommel1ts). . 31Choke.manjfold compJies w/APtRF>-53 (May 84) 32 Work will occur withoutoperation .shutdow.n. 33 .Is presence oJ H2S gas. prob.able. . . . . . . . . . . . . . . !34 Mecban[cal.coodjt[o!1 ofwe.lIs withil1 AOß verified (For.s.ervice welJ on.ly). . .16"@67". - - - - - - - - - , . . . . . .Yes. .Y.es. .Yes. No .Yes. . . Yes.. .Yes - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - . . . ,A.de~uate eXcess, - - - - - - - - - - - - ~ - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Nabors 129. . . ~ewwelL . - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - NA - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Appr Date WGA 6/30/2004 . . . . . . . . . . . . . . . . . . . .Y.es. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Yes. . Waiveuequested. for 1.2" y~nt Ijne. . . . . . . . . . . . . . . . . . . . . . . . . . . .Yes. . . Max MW92 ppg.. ....... . . . . . . . . . . . . . . . . . . . . Yes . .Yes. ...... Yes. Yes . ...... No. - - - - - - - - - - - - - . T~st to .3500 psi. .MSF> 30.65 psi. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- NA. - - - - - - - - - - - - - - - - - - - -- - - - - - - - Geology 35 Permit can be lssu.ed wlo hydrogen. sulfide meas.ures. . . . 36 .D.ata.pr~seoted on. pote.ntial oveJPressure .zones . . . . . . . . . . . . . . . . 37Sei.smicanalysjs of shaJlow gaszoo~s 38 .Seabed .cOl1djtipo survey.(if off-shore) .. .................... 39 . Conta.ct l1amelphoneJorweelsly progress. reports [exploratpryo!1IYl . - - - - - - - . . Yes .... Yes. .Yes. NA - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Appr RPC Date 6/30/2004 - - - - - - - - - - - - - - - - - ~ - - - - - - - - - Yes. . . . Pl:tI!,.KRUEGER 263-76.28 - - - - - - - - - - - - - - - - - ~ - - - - - - - - - - - - - - - - - - - - Geologic Commissioner: Engineering Commissioner: 7/¡ (1- Public Commissioner Date: Date Date ùTs D D . . e e Well History File APPENDIX Information of detailed nature that is not particularly germane to the Well Permitting Process but is part of the history file. To improve the readability of the Well History file and to simplify finding information, information of this 1ature is accumulated at the end of the file under APPENDIX. No special effort has been made to chronologically organize this category of information. A Brian Lees Andrew Buchanan - Sr, ~Ii UNOCALe STAR #1 · TABLE OF CONTENTS WELL RESUME. ....................... ............ ............ .......................... .................................. ...... ...... .... .......... 3 PROCEDURES and GENERAL DiSCUSSiON.................... ....................................... ............ ....... .......... 5 GEOLOGICAL DISCUSSION .........................................................:........................................................6 DAILY ACTIVITY SUMMARY... ......................... ........................... ................ .................................... ....... 7 LITHOLOGY REVIEW. ..... ........ ........ ........... .... .............. ............ ..... ............................ .............. ............... 8 SURVEYS .............................................................................................................................................25 DAILY MUD PROPERTIES............... ...... ........................... .............. ....................... .............................. 30 BIT RECORD .... ............ .................... ......... .... .... ......................... .... ......................... ................ ............. 31 MORNING REPORTS ...........................................................................................................................32 · FINAL LOGS...... ............... ................................. ...... ...................... .... ............. ........................ Appendix I DIGITAL WELL DATA...... .......... ........... ...... ....... ........... .......... ................ ...............................Appendix Ii · ~ EPOCH 2 UNOCALe STAR #1 · WELL RESUME Company: Unocal Alaska Resources, Inc. Well: STAR #1 Field: Nicolaevsk Unit Region: Cook Inlet Location: Section 24, T 3S, R 14W, SM Coordinates: 1357'FSL,405'FVVL Elevation: RKB= 'AGL RKB Elevation = GL= 'AMSL County, State: Kenai Peninsula Borough, Alaska API Index: 50 - 231 - 20024 - 00 · Spud Date: July 11 th , 2004 Total Depth: 9130' on July 24th, 2004 Contractor: Nabors Drilling Alaska Company Representative: Shane Hauck, Larry McCallister RiglType: Nabors #1291 Land Epoch Logging Unit: #30 Epoch Personal: Brian O'Fallon Lees F. Browne Jr. Andrew Buchanan Company Geologist: Mark Lynch Dave Buthman · ~ El)()C·H 3 · · · UNOCALe STAR #1 Casing Data: 16" landed at 60' 9 5/8" @ 1507' 7" @ 4530' 3%"@' Hole size: 12 X" to 1515' 8 %" to' 4530' 6 1/8" to 9130' Mud Type: Spud to 1515' LSND to 4530' INVERMUL Oil Base to 9130' Logged Interval: Full Logging under 7" casing pipe Electric Logging Co: Schlumberger Logs Run: TRIPLE COMBO: GRlRes LWD APLS (azimuthal density/neutron) APLS first bit run only under 7" csg [:I EI)()CH 4 . . . UNOCALe STAR #1 PROCEDURES and GENERAL DISCUSSION Epoch supplied a full computerized Rigwatch system (which included measurements block height, drill rate, pit volumes, pump rates, pump pressure, flow line, return flow, hook load, torque, and rotary speed) for all operations. Display monitors for the company man, tool pusher and mud engineer, and touch- screen (Azonix) displays for the driller and pit watcher provided graphics of the infonnation. Hydrogen flame ionization (FID) Total Gas and (FID) Gas Chromatograph instruments detected and analyzed fonnation gases. Mud gas was continuously generated by an optimally positioned Quantitative Gas Measurement (QGMTM, Texaco patent) electrically driven gas trap, and drawn to the detectors by vacuum pump. The gas system was tested and calibrated on a regular basis. Unocal Alaska Resources, Inc. spudded Star #1 on July 11th, 2004 with Nabors Drilling Alaska #129. Epoch commenced DML TM logging on the same day at the top of the hole fill of the 16" conductor pipe at 36'. The 12%" Surface hole was drilled with water base mud from surface' to 1515' and completed on July 14th, 2004. Mud weight was 9.2+ ppg throughout the drilling interval and carbide dropped at 1515' showed at 8 bbl wash out over a gauged hole with slight slow drilling in conglomerate and pebble sands. A short trip to 332' showed a tight hole and pipe was tripped to bottom, in which another carbide was dropped giving a 11.7 bbl wash out over a gauged hole showing a longer broader gas peak noting the 4.7 bbl washing out effect with moderate to occasional abundant clay balls coming over the shaker screens. Cuttings collection and analysis commenced from surface conductor hole section began on July 11 th, 2004. Cuttings samples were caught at 30' intervals and at smaller intervals if the drill rate allowed during high gas intervals to 4530'. Afterward, 20' samples where caught to 8000' depending on the rate of penetration. From 8000' to 9130' - 10' samples were caught. Attention was paid to optimum sampling during these and all gas shows. The intennediate hole section was drilled with water base mud from 1515' to 4530'. A slight amount of sliding was necessary to keep and maintain a target tangent angle of approximately 3° per 100'. Mud weight was gradually increased from 9.2 ppg to 9.3 ppg. Intennediate hole was completed on July 18, 2004, with a carbide drop showing a 12 bbl wash out over a gauged hole with no drilling problems. After swapping from water base mud to oil base mud, the 6%" deep hole section commenced on July 20th, 2004. Continued sliding was required to maintain 2° tangent angle per 100', to hit the mid Tyonek gas sands and then to drop angle to 1 °/1 00' in the Tyonek to the total depth. The mud weight of 9.2 ppg at the 7" shoe was held at 9.2 - 9.2+ ppg to a Total Depth, in response to "no" connection or swab gases. Down hole electric wireline data was obtained by a Sclumberger Service Quad-Combo Assembly. 3%" production tubing was run in the hole on 5" drill pipe, the hanger set, and the tubing string cemented on July 27th, 2004 Epoch was given its release to rig down after cementing. ~ EP()C·H 5 UNOCALe STAR #1 . GEOLOGICAL DISCUSSION Star #1 The primary objectives of the Star #1 were quality Tyonek Formation gas sands. From 1515' to 4530', the intermediate hole was drilled through the Sterling to Lower Beluga Formations with the interval averaging 76 units of gas, with a maximum of 192 units at 4142' in a coal. The highest gas measured from sandstone was 133 units at 3420' to 3450', The 61/8" hole was drilled from 4530' to a total depth of 9130', included Lower Beluga and Tyonek Formations. Gas averaged 105 units, with a maximum of 906 units in a sand and sandstone from 8095' to 8120'. This zone showed 50% sand and sandstone: light brownish gray to light gray; clast size ranged from coarse lower grading to silt size, with 50% of the samples showing silt and ash properties; increased grain sizes to medium and fine grains noted with depth; sub round to rounded grains with moderate to well developed sphericity; very poor sorting; polished and pitted textures; sub mature nature; non calcareous to non to very weak siliceous cement; moderate silt and ash packed matrix with most matrix loosely attached; both matrix and grain supported in parts; composed of >90% quartz with various lithic fragments; poor to fair porosity and permeability. Gas units increased from 20 units to 906 and back to 58 units. The drill rate was erratic throughout this zone but did exhibit a drill break from 70 flh to 150 f/h. Other sand / sandstone show zones occurred at the followina depths with oases listed: Show #1 from 4725' to 4743' (18') gas: 30 units to 201 max to 77 units. 100% Sandstone - very fine grain to silt: matrix supported . Show #2 from 5400' to 5430' (30') gas: 65 units to 214 max to 40 units. 60% Sandstone - medium to very fine: minor grain support (40% silt/clay) Show #3 from 6085' to 6110' (25') gas: 80 units to 303 max to 78 units. 40% sand stone - medium lower to silt: matrix support (20% ash, 40% silt) Show #4 from 6830' to 6870' (40') gas: 100 units to 308 max to 100 units. 60% sandstone - fine grains: matrix support (10% clay, 30% silt) Show #5 from 7080' to 7100' (20') gas: 240 units to 329 max to 257 units. 50% sandlsandstone - medium lower to silt: matrix support (30% ash, 20% silt) Show # 6 from 7440' to 7490' (50') gas: 255 units to 391 max to 105 units (20% conglomerate sand) 40% sandstone - coarse upper to fines: matrix support (40% ash, 20%silt) Show #7 from 8090' to 8120' (30') gas: 40 units to 906 max to 58 units (20% conglomerate sand) 50% sand/conglomerate sand - coarse lower to fines: grain and matrix support (20% ash, 30% silt) Show #8 from 8280' to 8295' (15') gas: 52 units to 244 max to 68 units 70% sandlsandstone - medium upper to very fine: matrix and grain support (10% ash, 20% silt) Show #9 from 8357' to 8393' (36') gas: 40 units to 255 max to 50 units 60% sand/sandstone - medium upper to fine: matrix and grain support (40% silt) . Show #10 from 8770' to 8860' (90') gas: 45 units to 298 max gradual decrease to 80 (5% conglomerate) 50% sandstone - medium lower to very fine: matrix support (10% ash, 20% clay, 20% silt) Drill gas from a number of coals exceeded 100 units up to 529 units at 7430'. No connection gases were observed throughout the 6.125" hole section. ~ EP()C·H 6 UNOCALe STAR #1 . DAILY ACTIVITY SUMMARY (Note: All daily summaries reported at 24:00:00 of listed date.) 7/11/104 Rig up and build spud mud. Pick up BHA and begin to finish rigging up. 7/12/04 Prepared to spud the well but the mud pump contacted an electrical problem. Pick up drill pipe and fixed the mud pump. Drill formation from 37' to 371 '. Pull 4" HWDP to the surface pipe and service the rig. Run in the hole with 5" HWDP and drill to 562'. 7/13/04 Drill formation to 1515' and circulate the hole clean. Short tripped with pumping out ofthe very tight hole. Serviced the Top Drive on the way out of the hole and tripped in the hole with no tight spots. Circulated bottoms up and dropped carbide marker showing a 12 bbl wash out and trip out of the hole. 7/14/04 Finish tripping out of the hole, with the hole tight at 229'. Lay down the BHA and rig up and run 9 5/8" casing to 1507'. Circulate and cement casing and run a gyro survey. Rig down the diverter system and begin to nipple up the BOPE. 7/15/04 Finish nippling up BOPE and test BOPE. Test failed: changed out bottom rams. Picked up drill pipe and stood it back in the derrick. 7/16/04 Picked up BHA and tripped in the hole to 1004'. Cut new drilling line and trip in the hole to 1382'. Drill out cement and 20' of new hole. Circulate the hole clean and dropped a carbide = 12 bbl wash out. Rig up Schlumberger and perform a leak off test to 14.1 ppg EMW. Drill formation to 2233'. . 7/17/04 Drill formation to 4315'. 7/18/04 Drilled formation to Intermediate Casing Point at 4530'. Short tripped to the Surface Casing Shoe and ran into the hole to total depth. Circulated the hole clean and conditioned the mud for wire line logging. Observe the well for flow before pulling out of the hole. Rigged up and ran wireline logs then rigged down Schlumberger. Rig up and begin running intermediate casing. 7/19/04 Continue to run surface casing; breaking circulation at 1500' and 3000'. Circulate and condition hole for cement. Rig up Dowell and run cement. Pumped plug. Rig down Dowell. Nipple up and test BOP's. Clean pits and bring on oil based mud. Pick up and make up bottom hole assembly. 7/20/04 Finish making up bottom hole assembly and trip into the hole. Displace hole to oil based mud. Drill out shoe track and 20' of new formation before performing Leak Off Test (15.5 EMW). Drill ahead 6.125" hole. 7/21/04 Continue drilling ahead with surveys. 7/22/04 Drill formation 7/23/04 Drill formation 7/24/04 Drilled to 9130' (TD). Circulate the hole clean prior to short trip. . [:I El)()CH 7 · · · UNOCALe STAR #1 LITHOLOGY REVIEW STAR #1 Commence logging Star #1 Spud well on 7/11/04 at 08:45 Conalomerate Sand (37' to 601 = olive gray to dark gray; medium grain to 20mm, especially very coarse to pebble; rounded to angular; low to moderate sphericity; poorly to moderately sorted in light brownish gray clay matrix; meta-lithies, chert, and quartz grains; estimate some fair to good porosity. Conalomerate (60' to 120') = medium dark gray to dark greenish gray; pebbles 5mm to 25mm; subrounded to angular; low to moderate sphericity; poorly sorted; hard to very hard; estimate fair to good porosity. Claystone (120'-150')= med dark gray to olive gray; gelatinous to mushy; dense tenacity; irregular fracture; massive cuttings habit; dull earthy luster; silty to clayey texture; common to abundant scattered predominantly quartz grains. Conalomerate Sand (150 to 2101 = greenish gray to olive gray; coarse to very coarse, common pebble size; subrounded to bit broken angular; low to moderate sphericity; poorly to moderately sorted; 50% translucent to milky quartz, 50% lithies, including common green and dark brownish red grains, occasional biotite; common to abundant carbonaceous material/coal; estimate fair to good porosity; no visible oil indicators Conalomerate Sand (210'-270') = greenish gray to olive gray; coarse to very coarse, occasional pebble size; subrounded to angular; low to moderate sphericity; sphericity; poorly to moderately sorted; 60% quartz; 40% lithies, including dark red grains, occasional biotite; occasional carbonaceous material; estimate good porosity; no visible oil indicators. Siltstone (270'- 300') = medium gray to light bluish gray; poor to moderate in- duration; dense to brittle tenacity; irregular fracture; massive cuttings habit; dull to occasionally frosted luster; silty to clayey texture; common interbedding with claystone; slightly calcareous; common carbonaceous material. Conalomerate Sand (310' to 365') = light gray to medium gray and various hues of gray; clast size ranges from pebble to fine grain matrix sands; sub angular to sub round; moderate sphericity with some discoidal fragments; moderate to poor sorting with no abundant faction; chip to impacted and pitted texture; sub mature to immature nature; non to very weak siliceous cement; non calcareous; slight to moderate clay/silt structured matrix; loosely attached; both grain and matrix supported - gradational; composed of 80% quartz, 10% chert, 10% meta (argillite), jasper, greenstone and various lithic fragments; fair porosity and permeability; no oil indicators. Tuffaceous Siltstone and claystone (365' to 4051 = medium light gray; poor to moderate indurations; malleable; sectile; flexible; mushy; tacky; slimy; some stiff; slight to moderate cohesive to adhesive; earthy fracture; massive habit earthy luster; clayey to silty texture; massive beds of gradational tuffaceous silt and clay; composed of 60% silt, 20% clay, 20% carbon, very fine sand, pyro-clastic shards various detrital material. ~ EI)()CH 8 · · · UNOCALe STAR #1 Sand (405' to 480') = medium dark gray to light gray; clast size ranges from coarse lower to fine upper with most being medium grains; sub round; moderate sphericity; moderate sorting; pitted texture; immature nature; no visible cement; dominant clay matrix with interbedded sands increasing with depth; becoming matrix supported at 480' composed of 50% quartz, 50% chert, dark gray siliceous mudstones and various detrital material; becoming cleaner with depth; good porosity @ 510'. Conalomerate Sand/sand (480' to 600') = medium gray; fine to very coarse, especially fine upper to coarse lower, and scattered to common pebbles and fragments; subangular to locally subrounded; poorly to moderately sorted; grain and matrix supported in light gray ashy clay locally grading sandy to silty tuffaceous claystone; 50% quartz, and 50% black to green to gray to rust mostly silicates including meta-lithic, chert, and igneous, and trace detrital coal and lithics; estimate poor clay in fill porosity, to some fair to good porosity; no hydrocarbon indicators. Tuffaceous Claystone (600' to 645) = medium gray; moderately soft and soluble; clayey to slightly silty texture; trace micro-laminations to disseminated carbonaceous matter, increasing locally grading carbonaceous shale; occasion- ally sandy. SandlSandstone (645' to 690') = medium gray to light gray; fine to coarse lower grains to locally scattered to common very coarse and pebble; overall with increased coarse fraction downward; mostly poorly sorted and matrix supported in increasingly ashy matrix grading sandy ash fall tuff; 40-60% quartz, and 60-40% mostly dark gray to black and some gray to green to pink, including mostly silicates (mafic) and trace coal and clay lithics; quartz fraction higher in lower light gray ashy sands; estimate mostly poor clay infilling porosity. Sandstone/Siltstone (690' to 840') = medium gray to medium light gray; silt to fine grains to locally including medium grains; subangular to subrounded; poorly to moderately sorted; grain and matrix supported grading to and interbedded to interlaminated with ashy claystone and siltstone; 60-80% quartz, and 40-20% black to green to gray to minor pink mostly silicates and some partially siliceous coal and carbonaceous matter; estimate mostly poor porosity due clay infilling. Coal (820' to 835) = black to brownish black; hard to slightly finn; dense bituminous with angular fracture and some irregular fracture on lamina, to lignite grading carbonaceous shale with increase in organic clay; thinly bedded to thin laminations in organic clays. Sandstone (840' to 920) = medium light gray to medium gray; very fine upper to coarse lower, to some very fine to fine; subangular to some subrounded; poorly to some moderately sorted; grain sup- ported in slight ashy clay matrix to some matrix supported; grading to and interbedded with variably sandy clay- stone and minor siltstone; grain constituents similar to above sands; estimate poor to fair clay infilling porosity. Tuffaceous Siltstone/Clavstone (920' to 995') = medium gray to light brownish gray to brownish gray; variably silty to fine sandy claystone grading to siltstone and sandy siltstone; soluble and moderately hydrophilic; ashy; often slightly to occasionally moderately organic claystone; slight to some moderate carbonaceous silts, fines, and flakes; locally grading carbonaceous shale with thin beds and lamina of coal. Tuffaceous Claystone (995' to 1080) = medium light gray to medium gray to light brownish gray to brownish gray; slightly to moderately silty/very fine sandy; occasionally grading siltstone to silty sandstone; some slightly to moderately organic; often very slight to occasionally moderate silts, fines, and flakes of carbonaceous matter; locally grading carbonaceous shale; some thin beds and laminations of coal associated with very ashy and variably organic silty claystone. ~ El)()C·H 9 UNOCALe STAR #1 · Coal (1060' to 1095') = black to dusky brown; hard to slightly firm; sub-bituminous to lignite; dense with angular to blocky fracture and irregular fracture along dense lamina, to some crumbly; occurs as thin beds and lamina. Tuffaceous Claystone (1080' to 1230') = medium light gray to medium gray to occasionally light brownish gray to grayish brown; moderately soft and soluble; moderately hydrophilic; clayey to moderately silty texture; very slight to slight carbonaceous silts, fines, and flakes; often slightly to occasionally moderately organic, including gradation- ai, to thin streaks and laminations of brownish clay and coal; locally hard and calcareous dense shaley fragments; locally interbedded coal. SandstonelSand (1130' to 1230') = medium gray to medium light gray; very fine to medium grains and scattered coarse fragments; matrix supported, to some finer fraction grain supported grading to sandy siltstone; grading claystone; 50% quartz, and 50% dark gray to brownish black to black metalithics and partially siliceous carbonaceous lithics; minor scattered calcite; estimate poor clay infilling porosity. Tuffaceous Claystone (1230' to 1290') = medium light gray to medium gray to occasionally light brownish gray to grayish brown; moderately soft and soluble; moderately hydrophilic; clayey to moderately silty/fine sandy texture; very slight carbonaceous silts, fines, flakes; some slightly to occasionally moderately organic, associated with increase in carbonaceous flakes and partings and locally laminated to thinly bedded coal; occasional streaks hard dense grainy calcareous (tuffaceous shale) zones often associated with coal. Coal = grayish black to black to brownish black; very firm to slightly firm; subbituminous with angular, to platy to irregular platy fracture along bed- ding planes, to lignite with flaky to crumbly fracture grading carbonaceous shale; thinly bedded to interlaminated in ashy tuffaceous claystone and carbonaceous shale. · Tuffaceous Claystone (1300' to 1410') = medium light gray; very soft; brittle; lumpy to clumpy; clotted to clustered; gelatinous; slight cohesive to very adhesive; amorphous fracture and habit; earthy luster; clayey texture; massive homogeneous beds of tuffaceous clay; composed of 80% clay, 20% silt, pyro-clastic relic shards and carbon material some thin beds of very carbonaceous shale and low grade coal. Very Carbonaceous Shale and Coal (1420 to 1480') = black; firm; earthy to resinous luster; matte to smooth texture; planar to hackly some blocky fracture; composed of lignitic coal grading to very carbonaceous shale; occurs as thin beds; visible bleeding gas from most coal cuttings. Sand/Conalomerate Sand (1490' to 1500') dark gray to medium gray; clast size ranges from slight pebble to medium; sub round some rounded; moderate sphericity; moderate to poor sorting; pit to chip texture; immature nature; no visible cement; dominant clay structure matrix; dominant matrix supported; sands occur as loose composed of 50% quartz, 50% chert, dark gray siliceous mudstones. Casino pOint @ 1515' on 7/13/04 @ 14:52 carbide shows 8 bbls over gauged hole short trip = hole tight carbide 12 bbl casing set 1507'; lot@1535'=14.15 ppg emw. Tuffaceous Claystone (1510' to 1560') = medium light gray to light olive gray; very soft; brittle; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; earthy luster; clayey to ashy texture; massive homogeneous beds of tuffaceous claystone; composed of >90% clay; scattered coal beds. CoalNery Carbonaceous Shale (1570' to 1590') = black mottled dark brownish gray; firm; resinous to earthy luster; smooth to matte texture; hackly fracture cuttings tend to be ground up; composed of · very carbonaceous shale to lignitic coal; visible bleeding gas from coal fragments. [:I El)()CH 10 UNOCALe STAR #1 · Tuffaceous Claystone (1600 to 16801 = light gray; very soft; brittle; various consistencies: lumpy to clumpy; clustered to clotted; gelatinous; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; earthy luster; clayey to colloidal texture; massive bed of homogeneous clays; composed of >90% clay. Tuffaceous Claystone (1670' to 1740') = light gray; very soft; hydrophilic; brittle; various consistencies: lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; earthy luster; clay texture; massive beds of homogeneous clay composed of >90% clay. CoalNerv Carbonaceous Shale (1750' to (1780') = black some mottled dark brown firm some brittle; resinous to earthy luster; smooth to matte texture; hackly fracture; cuttings are ground up; composed of very carbonaceous shale grading to lignitic coal; no visible bleeding gas in cuttings noted. Tuffaceous Claystone (1790' to 1830') = light gray; very soft; various tenacity and consistencies; sectile; flexible; elastic; lumpy to clumpy; clustered to clotted; gelatinous; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; moderate earthy luster; clayey to colloidal texture; hydrophilic; massive beds of homogeneous tuffaceous clay composed of >90% clay; trace silt and various detrital material: relic shards. Sand (1840' to 1875') = medium dark gray to dark gray; clast size ranges from coarse upper to medium upper; sub round; moderate some well developed sphericity; moderate sorting; pittedlimpacted to chip texture; immature nature; no visible cement; abundant clay matrix; dominant matrix support; appears as loose and interbedded; composed of 40% quartz, 60% dark gray meta (siliceous mud stone); sub greywacke; poor porosity and permeability; no oil indicators. · Very Carbonaceous Clay/Shale (1880' to 1950') = brownish black mottled brownish gray grading to black in parts; brittle to firm; earthy luster; silty to matte texture; planar fracture along shale partings; tabular to platy habit; composed of very carbonaceous clay and shale with minor laminae of coal; visible bleedings gas in larger cuttings Tuffaceous Claystone (1960' to 20101 = light gray; very soft; various tenacity and consistencies: sectile; flexible; elastic; lumpy to clumpy; clustered to clotted; gelatinous; mushy to pasty; tacky to slimy; slightly cohesive; very adhesive; amorphous fracture and habit; moderate earthy luster; clayey to colloidal texture; hydrophilic; massive beds of homogeneous clay composed of >90% clay; visible relic shards in mass. Tuffaceous Claystone (2020' to 2070') = medium light gray to light gray; very soft; various tenacity and consistency; malleable to sectile; flexi to elastic; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slight cohesive to moderate adhesive; amorphous fracture and habit; moderate earthy luster; clayey to colloidal text; massive homogeneous beds of tuffaceous claystone; 90% clay. 10% detrital. Tuffaceous Claystone (2080' to 2130') = medium light gray to light gray; very soft; various tenacity and consistencies malleable to sectile; flexi to elastic; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slight cohesive to moderate adhesive; amorphous fracture and habit; moderate earthy luster; clayey to colloidal text; hydrophilic; massive uniform beds of tuffaceous claystone. Tuffaceous Claystone (2140' to 2180') = medium light gray; very soft; various tenacity and consistencies; hydrophilic; slight cohesive to very adhesive; amorphous fracture and habit; moderate earthy luster; clayey to colloidal text; massive uniform beds of tuffaceous clay with thin beds of medium grain sand and thin coal beds. · f;I El)()CH 11 · · · UNOCALe STAR #1 Tuffaceous Claystone (2180' to 2240') = medium light gray to occasionally light brownish gray to grayish brown; moderately soft and soluble; slightly hydrophilic; clayey to slightly silty texture; scattered very fine to fine angular to subrounded quartz; locally silty clay and siltstone lamina; minor sandy lamina; slight silts and fines of carbonaceous matter, locally increasing associated with organic clays and grading to carbonaceous shale with trace thin beds coal. Tuffaceous Claystone (2250' to 2380') = medium light gray some with faint brownish hue; moderately soft and soluble; slightly hydrophilic; clayey to fine silty texture; some grading clayey silt- stone; very slightly scattered very fine to fine sand to rare sandy siltstone; slight to locally moderate silts, fines, clasts, and micro-partings of carbonaceous matter, often associated with slightly organic claystone and streaks and thin beds lignitic to subbituminous coal; rare carbonaceous shale; trace calcite and very firm calcareous streak. Coal (2220' to 2420') = black to brownish black; firm to slightly firm; hackly to irregular platy to flaky to crumbly; lignite to subbituminous; occurs as thin beds, lamina and streaks in non to slightly organic tuffaceous claystone and minor carbonaceous shale. Sand/Sandstone (2365' to 2420') = medium gray to medium light gray; very fine to medium and scattered coarse; angular to subrounded; poorly sorted and estimate matrix supported grading sandy claystone, to occurring as floating sand grains in claystone; 60% quartz, and 40% black to dark gray silicates (mafics) and partially siliceous carbonaceous lithics; estimate poor clay infilling porosity. Tuffaceous Claystone (2410' to 2520') = medium gray to medium light gray to light gray to light brownish gray; moderately soft and soluble; slightly hydrophilic; clayey to moderately silty texture; occasionally grading to silt- stone to silty laminations; slightly sandy with very fine to fine grains; slight to locally moderate silts, fines, clasts, and micro-partings of carbonaceous matter; occasionally variably organic to clasts organic clay; locally grading very light gray, clayey to greasy, non to slightly silty/fine sandy ash fall tuff; locally grading carbonaceous shale and interbedded coal. Coal (2480' to 2630') = grayish black to brownish black to black; slightly firm to very firm; clayey and crumbly to flakey, to dense with sub platy to hackly and rare angular fracture; mostly lignite to some subbituminous; interbedded to thinly laminated in tuffaceous claystone to variably organic claystone to carbonaceous shale. Tuffaceous Claystone (2520' to 2640~ = medium light gray to medium gray, occasionally with brownish hue to light brownish gray; soft and soluble to occasionally slightly firm and slightly soluble; clayey to moderately silty texture; very slight carbonaceous silts to slight and locally moderate silts, fines, clasts, and micro-partings of carbonaceous matter; occasionally slightly organic to occasionally grading to carbonaceous shale with increase in carbonaceous partings and lamina and interbedded coal; slightly scattered calcite and rare firm streaks calcareous shale. Sand/Sandstone (2620' to 2760') = medium gray to medium light gray; very fine to medium and scattered coarse; angular to subrounded; poorly sorted and estimate matrix supported grading sandy claystone, to occurring as floating sand grains in claystone, to locally grain supported in part in 2730' to 2760' sample; 60% quartz, and 40% black to dark gray silicates (mafics) and partially siliceous carbonaceous lithics; estimate poor clay infilling porosity. Tuffaceous Claystone (2670' to 2780') = medium light gray to medium gray; medium gray to medium light gray to rare with brownish hue to light brownish gray; soft and soluble to slightly firm; clayey to moderately silty; often slightly to moderately sandy grading sandstone; slight to rare moderate silts and fines of partially siliceous carbonaceous matter and silicates; occasionally slightly organic to rare grading carbonaceous shale and minor interbedded coal. [:I El)()CH 12 · · · UNOCALe STAR #1 Tuffaceous Claystone (2780' to 28801 = medium gray to medium light gray; soft and soluble to slightly firm; slightly to moderately sandy with very fine to medium grains of quartz, calcite, partially siliceous carbonaceous fines, dark gray to gray silicates; some hard grainy calcareous streaks; occasionally grading to interlaminated matrix and minor grain supported sandstone; occasional smooth clayey texture; slightly silty overall. Tuffaceous Claystone (2880' to 2940') = medium light gray to medium gray; soft and soluble to occasionally slightly firm; clayey to slightly silty/gritty texture; very slight to slight silts, fines, and flakes of carbonaceous matter; trace scattered calcite and rare smooth to grainy hard calcareous streaks; rare slightly organic to trace carbonaceous shale and coal. Tuffaceous Claystone I Ash Fall Tuff (2940-2970') = medium light gray to light gray; moderately soft to soft and soluble; clayey to slightly silty/ gritty texture; very slight silts, fines and flakes of carbonaceous matter; rare organic to trace carbonaceous shale; locally thinly bedded coal, lignitic. Sand (2970-3000') = medium light gray to medium gray; fine to coarse grains; sub- rounded to subangular; poorly sorted and matrix supported in tuffaceous clay; lithologies similar to above sands; poor clay infilling porosity. Tuffaceous Claystone I ash fall tuff (3000-3060') = medium light gray to some light gray; moderately soft to soft and soluble; clayey to some siltyl gritty texture; very slight silts, fines and flakes of carbonaceous matter; occasionally slightly organic to rare grading to carbonaceous shale, including variably organic claystone with thin beds and parting of carbonaceous matter and coal; trace calcareous streaks. Tuffaceous Cla¥stone (3060' to 3150') == medium light gray to medium gray, to occasionally with slight brownish hue; moderately soft to soft and moderately soluble, to occasionally slightly firm; often slight to occasionally moderately silty/gritty texture rare grading siltstone very slight to slight to locally moderate silts, fines, flakes, and partings 0 carbonaceous matter; local increase in carbonaceous partings especially in medium gray to brownish hue, and grading carbonaceous shale and coal; occasional smooth to gritty dense hard calcareous streaks. Tuffaceous Claystone (3150' to 3250') == medium light gray to medium gray, to occasionally with slight brownish hue; moderately soft to soft and moderately soluble, to occasionally slightly firm; clayey to some moderately silty texture; occasionally grading slightly sandy siltstone; very slight to slight to rare moderate silts, fines, flakes, and partings carbonaceous matter; local increase in carbonaceous partings especially in medium gray to brownish hue, and grading carbonaceous shale and coal; rare smooth to gritty dense hard calcareous streaks. Tl!ffaceous Claystone (3250' to 33301 = medium gray to medium light gray, to occasionally with slight brownish hue; moderately soft to soft and moderately soluble, to occasionally slightly firm; clayey to some moderately silty texture; some slightly to mOderately sandy occasionally grading matrix supported sandstone, to streaks grain supported including locally hard and calcareous; very slight to slight silts, fines, and flakes of carbonaceous matter; rare grading to carbonaceous shale and minor interbedded coal; rare streaks hard calcareous shale. Sand/Sandstone (3275' to 3380') = medium gray to medium light gray; very fine to medium and scattered coarse; angular to subrounded; poorly sorted and estimate matrix supported grading sandy claystone, to occurring as floating sand grains in claystone; 60% quartz, and 40% black to dark gray silicates (mafies) and partially siliceous carbonaceous lithies; occasional hard calcareous streaks; estimate poor clay infillíng porosity. [:I EP()CH 13 UNOCALe STAR #1 · Tuffaceous Claystone (3390' to 34501 = dark gray; firm; stiff; moderate cohesive; non adhesive; sub planar fracture; sub platy habit; dull earthy luster; silty to gritty some clayey texture massive beds of silty tuffaceous clay; some carbon rich; composed of 60% silt, 40% clay and various detrital material; dark earthy appearance. Sand (3420' to 3455') = medium gray; clast size ranges from coarse upper to silt; sub round; moderate sphericity; very poor sorting; pitted texture immature nature; no visible cement; dominant clay/silt matrix; dominant matrix support; composed of >50% dark gray siliceous mud stones rest quartz; poor porosity and permeability; no oil indicators. Tuffaceous Claystone (3460' to 35401 = medium light gray; very soft; various tenacities and consistencies: malleable to sectile; flexible to elastic; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; moderate earthy luster; clayey texture; massive beds of tuffaceous clay composed of 90% clay. 10% silt, pyro-clastic relic shards and various detrital material. Sand (3550' to 3600') = medium gray; clast size ranges from medium lower to silt; sub round; moderate sphericity; very poor sorting; pitted texture; immature nature; no visible cement; dominant clay matrix; dominant matrix support; appears as loose interbedded grains; composed of 50% quartz, 50% dark gray siliceous mud stone; poor porosity and permeability; no oil show. CoalNerv Carbonaceous Shale (3610' to 3650') = black to slightly mottled grayish brown; firm with some hard; resinous to earthy luster; smooth to matte texture; blocky to hackly fracture composed of very carbonaceous shale at contacts to sub bituminous coal at mass; slight visible bleeding gas from cutting · Tuffaceous Clavstone (3660' to 3720') = medium dark gray; very soft; various tenacities and consistencies: malleable to sectile; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; dull earthy luster; clayey texture; composed of 70% clay, 20% silt, 10% very carbonaceous fragments. Note: abundant heavy thick clumpy clays plugging up the possum belly hard to keep gas trap clean and free Coal/Carbonaceous Shale (3740' to 3780') black some mottled in lighter hues; firm resinous coal luster to earthy in shale's smooth to matte texture; planar to sub hackly fracture; composed of thin to thick beds of gradational carbonaceous shale and lignitic coal; slight visible bleeding gas from coal fragments. CoalNerv Carbonaceous Shale (3790' to 3810') = black some mottled brownish black; firm some brittle shale's; earthy luster in carbonaceous shale's to resinous luster in coal; matte to smooth textures; hackly coal fracture to planar in carbon shale's; slight visible gas bleeds in coal fragments. Tuffaceous Siltstone (3820' to 38901 = light gray to light brownish gray; very poorly indurated; various tenacity and consistency: lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; slightly cohesive to very adhesive; amorphous fracture and habit; dull earthy luster; silty to colloidal texture; some loose sand interbedded; composed of 50% silt, 50% clay, relic shards and carbon material. Coal/Carbonaceous Shale (3900' to 3940') = black; firm; earthy to resinous luster; matte to striated texture; hackly to planar fracture; slight visible bleeding gas from coal cuttings. · fj El)()CH 14 . . UNOCALe STAR #1 Tuffaceous Claystone (3950' to 3990') = medium light gray to light brownish gray; very soft; various consistency and tenacity: malleable to sectile; flexi to elastic; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; non to slight cohesive to very adhesive; amorphous fracture and habit; dull earthy luster; clayey to colloidal texture; massive beds of tuffaceous clay 70% clay, 30% silt, carbon and detrital. Tuffaceous Claystone (4000' to 4020') = medium light gray to light brownish gray; very soft to hydrophilic; composed of various tenacity and consistency; amorphous fracture and habit; dull earthy luster; clayey to colloidal texture; massive beds of homogeneous clay composed of 80% clay, 20% silt and carbon fragments. Coal/Carbonaceous Shale (4020' to 4050') black grading to brownish black in part; firm; resinous to earthy luster; matte texture; planar to hackly fracture; composed of very carbonaceous shale to lignitic coal; some visible bleeding gas from cuttings. Tuffaceous Claystone (4060' to 4110') = medium light gray; very soft; various tenacity and consistency; malleable to sectile; flexi to elastic; lumpy to clumpy; clustered to clotted; gelatin; mushy to pasty; tacky to slimy; non to slight cohesive to very adhesive; amorphous fracture and habit; moderate earthy luster; clayey to colloidal text; massive beds of tuffaceous clay composed of 70% clay, 20% silt, carbon fragments. Tuffaceous Siltstone (4150' to 4180') = medium gray; moderate with some well developed indurations; stiff; moderate cohesiveness to non adhesive; sub platy fracture and habit; dull earthy luster; silty to gritty texture; thick beds of uniform tuffaceous siltstone composed of 80% friable silt, 20% clay and various detrital material. Carbonaceous Shale/Coal (4190' to 4230') black to grayish black grading to brownish black in parts; firm; earthy to resinous luster; matte to silty texture in carbonaceous shale's; planar to hackly fracture; composed of very carbonaceous shale grading to thin beds of lignitic coal; very slight visible bleeding gas from cuttings. Tuffaceous Claystone (4220' to 4320') = medium gray to medium light gray to some with brownish hue to light brownish gray; soft and soluble to slightly firm; slightly silty to clayey to earthy texture; occasionally grading to clayey siltstone and minor clayey very fine grain sandstone; trace to slight silts, fines and flakes of carbonaceous matter; locally grading to brownish gray to medium dark gray carbonaceous shale, with increases in carbonaceous matter including partings and laminations, to grading lignitic coal; trace mica to slight grading to siltstone. Tuffaceous Claystone/Siltstone (4320' to 4365') = medium light gray to medium gray; soft and soluble to slightly firm; clayey to silty texture; trace to slight silts and fines of carbonaceous matter; occasional increase in carbonaceous matter and organic clay grading to carbonaceous shale; occasional streaks dense and calcareous shale. Coal (4365' to 44751 = brownish black to black; slightly firm to very firm; lignite with crumbly to flaky to platy fracture with common slight to moderate organic clay content especially common on partings; streaks bituminous with hackly to angular fracture; thinly bedded to laminated in carbonaceous shale and variably organic claystone. Tuffaceous Claystone/siltstone (4365' to 4525') = medium gray to medium light gray, some with faint brownish hue to light brownish gray, to locally very light gray grading ash fall tuff; soft and soluble to slightly firm; clayey to earthy to silty texture; some slightly sandy with very fine to fine angular to subrounded grains, especially common with ash fall tuff; trace to slight silts, fines, and flakes of carbonaceous matter; some slightly organic to lenses organic clay, to grading medium dark gray to brownish gray carbonaceous shale, with increase in carbonaceous matter including flakes and . partings; occasional hard streaks calcareous shale. [:I El)()C·H 15 . . . UNOCALe STAR #1 Note: Drill to 4530',7" casing depth, pump sweep, circulate out, and drop carbide: 215 strokes, 13.5 bbls over gauge hole set casing at 4530' switch to oil base mud drill to 4550' perform "leak off test" Tuffaceous Siltstone (4530' to 4600') = medium dark gray to dark gray; moderate indurations; slightly crumbly; slightly sectile; stiff; moderate cohesive to non adhesive; pdc bit grooved fracture and habit; dull earthy luster; clayey to silty texture; massive beds of gradation oftuffaceous silt and clay. Sandstone (4600' to 4610') = medium light gray; clast size ranges from very fine to silt; sub round; moderate sphericity; very poor sorting; pitted texture; immature nature; moderate calcareous; abundant silt structured matrix; dominant matrix support; composed of 60% quartz, 40% silt and various detrital material; poor porosity and poorer permeability; no oil indicators. Tuffaceous Claystone (4620' to 4690') = dark gray; firm; stiff; pdc bit grooved fracture and habit; dull earthy luster; smooth to waxy texture; massive gradational beds of tuffaceous clay and siltstone; scattered carbonaceous clay in parts. Sandstone (4725' to 4750') = medium light gray; clast size ranges from very fine to silt; sub round; moderate developed sphericity; very poor sorting; pitted texture; immature nature; non calcareous moderate to abundant silt structured matrix; dominant matrix supported; composed of 50% quartz, 20% various lithic fragments, 30% silt; poor porosity and permeability; no oil indicators. Tuffaceous Siltstone (4755' to 4790') = medium dark gray; moderate indurations; slightly crumbly to crunchy; stiff in parts; moderate cohesive to non adhesive pdc bit grooved fracture and habit; moderate earthy luster; silty to gritty texture; thick to massive gradational beds of very fine grain sand and silt. Tuffaceous Claystone (4800' to 4850') = medium dark gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy luster; clayey to waxy texture; massive beds of gradational tuffaceous clay and silt; composed of 50% silt, 50% clay; trace spees of tuff interbedded; scattered laminae of carbonaceous clay. Tuffaceous Siltstone (4850' to 4890') = medium dark gray; moderate indurations; slightly crumbly to crunchy; stiff in parts; moderate cohesive to non adhesive pdc bit grooved fracture and habit; moderate earthy luster; silty to gritty texture; thick to massive gradational beds of very fine grain sand and silt. Sandstone (4890' to 4950') = very light to medium gray overall; very fine to lower fine; angular to sub round; moderately sorted; moderate sphericity; composed of 60% quartz and 40% lithies; predominantly matrix supported; abundant claylashlsilt matrix; tight intergranular porosity; no shows. Tuffaceous Ash (4970' to 4990') = off white to very light greenish white; soft, irregular to amorphous cuttings habit and fracture; occurs as lamination and as matrix material in sandstone; dull to occasional sparkly luster; predominantly smooth texture. Sandstone (4990' to 5045') = very light to medium gray overall; very fine to lower fine; angular to sub round; moderately sorted; moderate sphericity; composed of 60% quartz and 40% lithies; predominantly matrix supported; abundant claylashlsilt matrix; tight intergranular porosity; trace visible degassing. Tuffaceous Claystone (5045' to 5090') = medium dark gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy luster; clayey to waxy texture; massive beds of gradational tuffaceous clay and silt; composed of 50% silt, 50% clay; trace spees of tuff interbedded; scattered laminae of carbonaceous clay. [:I El)()C·H 16 UNOCALe STAR #1 . Sandstone (5090' to 5140') = very light to medium gray overall; very fine to lower fine; angularto sub round; moderately sorted; moderate sphericity; composed of 60% quartz and 40% lithics; predominantly matrix supported; abundant claylashlsilt matrix; tight intergranular porosity; trace visible degassing. Tuffaceous Siltstone (5140' to 5190') = medium dark gray; moderate indurations; slightly crumbly to crunchy; stiff in parts; moderate cohesive to non adhesive pdc bit grooved fracture and habit; moderate earthy luster; silty to gritty texture; thick to massive gradational beds of very fine grain sand and silt. Sandstone (5190' - 52501 = light to medium gray overall; very fine lower to rare medium lower; poorly sorted; angular to sub round; low to moderate sphericity; composed of 70% quartz; 30% lithics; predominantly matrix supported; matrix composed of tuffaceous clay and silt with occasional ashy laminations; tight to very rare very poor inter- granular porosity show rare trace bleeding gas. Tuffaceous Claystone (5250' to 5300') = medium dark gray; finn; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy luster; clayey to waxy texture; massive beds of gradational tuffaceous clay and silt; composed of 50% silt, 50% clay; trace specs of tuff interbedded; scattered laminae of carbonaceous clay. Carbonaceous Clay/Coal (5300' - 53101 = dark brown to black, finn to hard, carbonaceous clay has pdc typical fracture and habit; coal has irregular to splintery fracture and irregular to sub tabular habit; greasy to resinous luster; predominantly smooth texture; thin coal laminations grading to clayey coal in part; trace visible degassing. . Tuffaceous Siltstone (5310' to 5400') = medium dark gray; moderate indurations; slightly crumbly to crunchy; stiff in parts; moderate cohesive to non adhesive pdc bit grooved fracture and habit; moderate earthy luster; silty to gritty texture; thick to massive gradational beds of very fine grain sand and silt. Sandstone (5400' - 5460') = light to medium gray overall; very fine upper to medium lower; poor to in part moderate sorting; angular to sub round; moderate sphericity; composed of 60% quartz and 40% lithics; consolidated; predominantly matrix with minor grain supported; matrix composed of clay, siltstone and occasionally ash; cuttings have typical pdc bit defonnation; estimate tight to rare trace very poor intergranular porosity; interbedded with clay and siltstone; rare trace visible degassing in part. Tuffaceous Claystone (5460' to 5510') = light to medium gray, soft to finn; moderately stiff; cohesive; pcd bit typical fracture and cuttings habit; dull earthy luster; smooth to occasional gritty texture; very silty in part grading to clayey siltstone; interbedded with siltstone and occasional sandstone; occasional laminae of carbonaceous clay. Tuffaceous Siltstone (5510' to 5570') = medium gray overall; moderately indurated; predominantly crumbly; slightly stiff; pdc bit typical habit and fracture; commonly very clayey grading to silty claystone in part; commonly grades to very fine sandstone; interbedded with clay and occasional sand; trace visible degassing occasion- ally observed. Carbonaceous ClaylCoal (5300' - 5310') = dark brown to black, finn to hard, carbonaceous clay has pdc typical fracture and habit; coal has irregular to splintery fracture and irregular to sub tabular habit; greasy to resinous luster; predominantly smooth texture; thin coal laminations grading to clayey coal in part; trace visible degassing. . Tuffaceous Siltstone (5310' to 5400') = medium dark gray; moderate indurations; slightly crumbly to crunchy; stiff in parts; moderate cohesive to non adhesive petc bit grooved fracture and habit; moderate earthy luster; silty to gritty texture; thick to massive gradational beds of very fine grain sand and silt. ~ El)()C·H 17 . . . UNOCALe STAR #1 Tuffaceous Claystone (5410' to 5730') = light brownish gray to medium gray; soft to firm; slightly sectile; stiff in parts; slight to moderate cohesive; non to slight adhesive; petc bit grooved fracture and habit; dull earthy luster; clayey to silty texture; massive beds of gradational tuffaceous clay and silt; composed of 70% clay, 30% silt. Sandstone (5730' to 5770') = medium It gray some light brownish gray in silty sections; clast size ranges from fine lower to silt; rounded; well developed sphericity; very poor sorting; polished to pitted texture; immature nature; non calcareous; dominant silt structured matrix; dominant matrix supported; composed of 50% quartz, 50% silt and various detrital material and lithics; poor porosity and permeability; no oil indicators; becoming medium grained at 5785' with matrix support. Coal/carbonaceous clay and shale (5820' to 5850') = black to grayish brown; firm to some hard; resinous luster in coal to earthy luster in carbonaceous clay and shale; matte texture; hackly fracture in coal to petc bit grooved fracture in carbonaceous clays; composed of very carbonaceous clay at contacts to lignitic coal at center mass; slight visible bleeding gas Tuffaceous Siltstone (5860' to 5890') = medium gray; moderate indurations; crumbly to crunchy; moderate cohesive to non adhesive; earthy fracture; sub block habit; dull earthy luster; silty to gritty texture; massive beds of silt composed of 80% silt, 20% clay with various detrital material. Tuffaceous Claystone (5900' to 59301 = brownish gray; firm; stiff; moderate cohesive to non adhesive; petc bit groove fracture and habit; dull earthy luster; clayey to waxy texture; thick beds of homogeneous tuffaceous clay composed of >90% clay with various detrital material organic appearance. Coal/carbonaceous shale (5955' to 5970') black to brownish black; firm; resinous to earthy luster; matte to smooth text; composed of very carbonaceous shale grading to lignitic coal; no visible bleeding gas from cuttings. Tuffaceous Siltstone (5980' to 6010') = brownish gray; moderate indurations; crunchy; stiff; moderate cohesive; non adhesive; petc bit grooved fracture and habit; dull earthy organic luster; silty to gritty texture; massive gradational beds of tuffaceous silt and clay composed of 50% silt, 50% clay. Coal (6025' to 6040') = black to grayish black; firm; resinous luster; matte to smooth texture; hackly fracture; composed of lignitic coal; visible bleeding gas from cuttings. Sandstone (6085' to 6115') = light gray mottled light pinkish gray; clast size ranges from medium lower to silt; sub round to round; moderate to well developed sphericity; very poor sorting; polished to impacted texture; immature nature; moderate calcareous; dominant silt/ash structured matrix; dominant matrix supported; composed of 50% quartz 50% silt, ash, carbonaceous and various detrital material; poor porosity and poorer permeability; some grading to a very silty devitrified ash; altered/redeposit; no oil indicators. Tuffaceous Siltstone (6130' to 6150') = brownish gray; moderate indurations; crunchy; stiff; moderate cohesive; non adhesive; pete bit grooved fracture and habit; dull earthy luster; silty to grit texture; thick beds of tuffaceous silt; composed of 60% silt, 20% clay, 20% ash. Tuffaceous Claystone (6160' to 6190') = brownish gray; firm; stiff; moderate cohesive to non adhesive; petc bit groove fracture and habit; dull earthy organic luster; smooth to waxy texture; thick beds of gradational tuffaceous clay and silt; becoming carbonaceous in parts. Tuffaceous Siltstone (6190' to 62301 = brownish gray; moderate indurations; crunchy; stiff; moderate cohesive; non adhesive; pdc bit grooved fracture and habit; dull earthy luster; silty to grit texture; thick beds of tuffaceous silt; composed of 60% silt, 20% clay, 20% ash. fJ El)()CH 18 . . . UNOCALe STAR #1 Carbonaceous Clavstone (6230' - 6275') = medium brown to brownish black; firm; stiff; cohesive to non adhesive; pdc bit typical fracture and cuttings habit; common to abundant coaly laminations; grades to clayey lignite in part; interbedded with claystone and occasion- ally siltstone; trace visible degassing from coaly fragments. Coal (6275' to 6300') = black, hard, brittle; irregular to sub conchoidal fracture; irregular to splintery cutting habit; resinous to greasy luster; smooth texture; common carbonaceous clay partings and laminations; common visible degassing. Tuffaceous Clavstone (6300' to 63601 = brownish gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy organic luster; smooth to waxy texture; thick beds of gradational tuffaceous clay and silt; becoming carbonaceous in parts. Coal (6360' to 6400') = black, hard, brittle; irregular to sub conchoidal fracture; irregular to splintery cutting habit; resinous to greasy luster; smooth texture; common carbonaceous clay partings and laminations; common visible degassing. Tuffaceous Siltstone (6400' to 6450') = medium gray to brownish gray; moderate indurations; crumbly to crunchy; slightly stiff; moderately cohesive; pdc bit typical cuttings habit and fracture; dull earthy luster; silty to gritty texture; interbedded with clay; occasional to common laminae of carbonaceous material. Tuffaceous Claystone (6450' to 64901 = brownish gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy organic luster; smooth to waxy texture; thick beds of gradational tuffaceous clay and silt; becoming carbonaceous in parts. Tuffaceous Siltstone (6490' to 6545') = medium gray to brownish gray; moderate indurations; crumbly to crunchy; slightly stiff; moderately cohesive; pdc bit typical cuttings habit and fracture; dull earthy luster; silty to gritty texture; interbedded with clay; occasional to common laminae of carbonaceous material. Coal (6445' to 6455') = black, hard, brittle; irregular to sub conchoidal fracture; irregular to splintery cutting habit; resinous to greasy luster; smooth texture; common carbonaceous clay partings and laminations; common visible degassing. Tuffaceous Claystone (6455' to 6620') = olive gray to brownish gray to medium brown, slightly firm; cohesive, non adhesive; commonly hydro fissile; firm; pdc typical fracture and cuttings habit; dull earthy luster; smooth to gritty texture; commonly carbonaceous; grades to carbonaceous clay in part. Tuffaceous Siltstone (6620' to 6665') = medium gray to brownish gray; moderate indurations; crumbly to crunchy; slightly stiff; moderately cohesive; pdc bit typical cuttings habit and fracture; dull earthy luster; silty to gritty texture; interbedded with clay; occasional to common laminae of carbonaceous material. Coal (6665' to 6720') = black, hard, brittle; irregular to sub conchoidal fracture; irregular to splintery cutting habit; resinous to greasy luster; smooth texture; common carbonaceous clay partings and laminations; common visible degassing. Tuffaceous Claystone (6720' to 6760') = olive gray to brownish gray to medium brown, slightly firm; cohesive, non adhesive; commonly hydro fissile; firm; pdc typical fracture and cuttings habit; dull earthy luster; smooth to gritty texture; commonly carbonaceous; grades to carbonaceous clay in part. (j El)()CH 19 · · · UNOCALe STAR #1 Carbonaceous Claystone (6230' - 62751 = medium brown to brownish black; firm; stiff; cohesive to non adhesive; pdc bit typical fracture and cuttings habit; common to abundant coaly laminations; grades to clayey lignite in part; interbedded with claystone and occasion- ally siltstone; trace visible degassing from coaly fragments. Sandstone (6825' to 6880') = light gray to light greenish gray; very fine lower to fine upper; poor1y sorted; angular to sub round; moderate sphericity; composed of 60% lithics; 40% quartz; consolidated in sample; predominantly matrix supported; matrix composed of clay and tuffaceous ash; thinly laminated with siltstone and clay; common carbonaceous fragments and laminations; common ash laminations; estimate tight to trace very poor intergranular porosity. Tuffaceous Siltstone (6890' to 69501 = firm; stiff; moderate cohesive to non adhesive; pdc bit grooved fracture and habit; dull earthy organic luster; massive gradational beds of tuffaceous silts and clays; composed of 70% silt, 30% clay. Coal (6950' to 6970') = black; firm; resinous luster; matte texture; hackly fracture; composed of lignitic coal; visible bleeding gas from larger cuttings. Tuffaceous Siltstone (6980' to 7030') = brownish gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy luster; massive gradational beds of tuffaceous siltstone and tuffaceous claystone; composed of 70% friable silt, 30% clay, carbonaceous material and various detrital fragments. Coal/Carbonaceous Clay (7035' to 7055') black becoming brownish black in most very carbonaceous clays; firm; earthy luster in clay to resinous luster in coals; matte texture; hackly fracture; composed of very carbonaceous clay to lignitic coals; visible bleeding gas from most cuttings. Sand (7080' to 71051 = light brownish gray to pinkish gray; clast size ranges from medium lower to silt; sub round to round; moderate to well developed sphericity; poor sorting; polish to pit texture; immature nature; non to slight calcareous; dominant silt/ash structured matrix to 7090' becoming cleaner with no ash at 7110'; some grain support; clean with depth; composed of 90% quartz, 10% various lithic fragments; poor porosity to poor fair at 7110'; no oil indicators Coal (7115' to 7135') = black; firm; resinous luster; matte texture; hackly fracture; composed of lignitic coal; grading to very carbonaceous clay and tuffaceous claystone some silty. Tuffaceous Claystone (7140' to 71901 = brownish gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy organic luster; clay to waxy some silty texture; gradational beds of tuffaceous clay and silt becoming very carbonaceous in parts Tuffaceous Siltstone (7200' to 72501 = brownish gray to medium dark gray; moderate indurations; stiff; moderate cohesiveness; non adhesive; pdc bit grooved fracture and habit; dull earthy luster; silty to clayey texture; scattered devitrified ash blebs at 7230'; composed of 80% silt, 20% clay with various detrital material; some micro laminae of very carbonaceous clays. Tuffaceous Siltstone (7260' to 7290') = brownish gray; moderate indurations; stiff; moderate cohesiveness; non adhesive; pdc bit grooved fracture and habit; dull earthy luster; silty to clay texture; composed of 60% silt, 40% clay; some interbedded devitrified ash. Tuffaceous Claystone (7300' to 73301 = brownish gray to brownish black at 7330' firm; stiff; moderate cohesiveness to no adhesiveness; pdc bit fracture and habit dull earthy luster; clayey to waxy text; grading to very carbonaceous clay at 7330'; slight visible bleeding gas. Coal/Carbonaceous Clay (7330' to 7345') black to brownish black; firm; earthy to resinous luster; matte texture; hackly fracture; composed of very carbonaceous clay to lignitic coal; visible bleeding in most coal fragments. [:1 El)()C·H 20 UNOCALe STAR #1 . Tuffaceous Siltstone (7350' to 7390') = brownish gray to medium dark gray; firm; stiff some mushy in ashy laminae; pdc bit grooved fracture and habit; dull earthy luster; silty texture; some interbedded ash; massive gradational bed of tuffaceous siltstone; composed of 80% silt, 20% clay, ash and various detrital material. Coal (7420' to 7440') = black; firm; resinous luster; matte texture; hackly fracture; coals "ground-up" with mud motor; composed of sub bituminous to lignitic coal; common bleeding gas from coal cuttings. Sand/Sandstone (7440' to 74951 = pale yellowish brown; clast size ranges from coarse upper to fine grading to silt; sub round to rounded; moderate to well developed sphericity; very poor sorting; polished to pit texture; immature to sub mature nature; slight to moderate calc; dominant silt/ash structured matrix: loosely attached and pore filling; dominant matrix support; composed of 90% quartz, 10% chert and various lithics; poor with some fair porosity; poor permeability; very ashy section: pinkish gray to very pale orange; very poor indurations; greasy luster; reworked and redeposit with sand, shards, detrital. Coal/carbonaceous shale (7540' to 7555') black; firm; resinous luster; matte texture; hackly fracture with mud motor; composed of very carbonaceous shale and clay to lignitic coal at mass. Tuffaceous Claystone (7540' to 76001 = brownish gray; firm; stiff; moderate cohesive to non adhesive; pdc bit groove fracture and habit; dull earthy organic luster; clay to waxy some silty texture; gradational beds of tuffaceous clay and silt becoming very carbonaceous in part. Tuffaceous Siltstone (7600' to 7350') = brownish gray to medium dark gray; firm; stiff some mushy in ashy laminae; pdc bit grooved fracture and habit; dull earthy luster; silty texture; some interbedded ash; massive gradational bed oftuffaceous siltstone; composed of 80% silt, 20% clay, ash and various detrital material. . Tuffaceous Claystone (7650' to 7700') = light brownish gray overall; firm, crumbly to crunchy; cohesive to non adhesive; hydro fissile in part; pdc bit typical fracture and cuttings habit; dull earthy luster; smooth to occasional gritty texture; grades to and interbedded with siltstone and trace sand; commonly slightly carbonaceous. Tuffaceous Siltstone (7700' to 77401 = light brownish gray to light gray; firm; stiff; pdc bit typical fracture and cuttings habit; dull earthy luster; silty texture; grades to claystone in part; abundant ashy laminations; common carbonaceous material and detrital material; occasional visible degassing. Tuffaceous Claystone (7740' to 7785') = light brownish gray overall; firm, crumbly to crunchy; cohesive to non adhesive; hydro fissile in part; pdc bit typical fracture and cuttings habit; dull earthy luster; smooth to occasional gritty texture; grades to and inter- bedded with siltstone and trace sand; commonly slightly carbonaceous. Coal (7785' to 7820') = black to very dark brown; hard; brittle; hackly to sub conchoidal fracture smooth texture; resinous to greasy luster; commonly interbedded with carbonaceous clay; common to abundant visible degassing. Tuffaceous Siltstone (7820' to 7880') = light brownish gray to light gray; firm; stiff; pdc bit typical fracture and cuttings habit; dull earthy luster; silty texture; grades to claystone in part; abundant ashy laminations; common carbonaceous material and detrital material; occasional visible degassing. . Tuffaceous Claystone (7880' to 79301 = light brownish gray overall; firm, crumbly to crunchy; cohesive to non adhesive; hydro fissile in part; pdc bit typical fracture and cuttings habit; dull earthy luster; smooth to occasional gritty texture; grades to and inter- bedded with siltstone and trace sand; commonly slightly carbonaceous. fj El)()C·H 21 . . . UNOCALe STAR #1 Tuffaceous Siltstone (7930' to 7970') = light brownish gray to light gray; firm; stiff; pdc bit typical fracture and cuttings habit; dull earthy luster; silty texture; grades to claystone in part; abundant ashy laminations; common carbonaceous material and detrital material; occasional visible degassing. Carbonaceous clay (7975' to 8010') = medium to dark brown; firm, crumbly ttkY; pdc bit typical fracture and cuttings habit; dull earthy to waxy luster; smooth to slightly gritty;" ure; commonly grades to lignite; occasional to common visible degassing. ' ~ Tuffaceous Siltstone (8010' to 8060') = brownish gray; moderate indurations; crunchy in sandy parts stiff in others; moderate cohesive to non adhesive; pdc bit grooved fracture and habit; greasy to earthy luster; silty to ashy texture; interbedded with fine grain sand and ash with very poor porosity and permeability composed of 60% silt, 20% ash, 20% sand. Coal (8070' to 80851 = black; firm some hard; resinous luster; matte texture; hackly fracture from mud motor; composed of lignitic to bituminous with out gas. SandlSandstone (8095' to 8125') = light brownish gray to light gray; clast size coarse lower to silt increase of the medium to fine grains with depth; sub round to rounded; moderate to well developed sphericity; very poor sorting; polished to pitted texture; sub mature; non calcareous; moderate silt/ash packed matrix; loosely attached; both matrix and grain supported; composed of >90% quartz with various lithic fragments; poor to fair porosity and permeability; no oil indicators. SandlSandstone (8180' to 8205') = light brownish gray to medium light gray; clast size ranges from medium upper to fine lower some grading to silt; sub round to rounded; moderate to well developed sphericity; poor to moderate sorting; polish to pitted texture; sub mature nature; non calcareous; slight to moderate silt/ash packed matrix; loosely attached; moderate to abundant matrix support with secondary grain; composed of >90% quartz with various lithic fragments poor to fair porosity - permeability. SandlSandstone (8265' to 8295') = pale yellowish brown; clast size ranges from medium upper to very fine upper grading to silt; sub round to round; moderate to well developed sphericity; moderate to poor sorting; polished to pitted texture sub mature nature; non to very slight calcareous to very weak siliceous cement; moderate silt/ash structured matrix; loosely attached; dominant matrix support with secondary grain support; cleaner with depth; composed of>90% quartz with various lithic fragments; poor to fair porosity and permeability becoming fair at 8290'. Tuffaceous Siltstone (8300' to 8360') = dark yellowish brown; moderate indurations; stiff; moderate cohesive to non adhesive; pdc bit grooved fracture and habit; dull earthy luster; gritty to silty texture; massive gradational beds of tuffaceous siltstone composed of 70% silt, 20% clay, 10% ash; some thin dense laminae of sandstone. Sand (8360' to 8395') = pale yellowish brown; clast size ranges from medium upper to fine lower and grading to silt; sub round to rounded; moderate to well developed sphericity; poor sorting; polished to pitted texture; sub mature nature; non calcareous; non to very weak siliceous cement; moderate to abundant silt and ash structured matrix; loosely attached; dominant matrix supported with secondary grain support; composed of 90% quartz, 10% various lithic fragments poor porosity and permeability. Tuffaceous Siltstone (8400' to 8480') = dark yellowish brown to dusky yellowish brown; moderate indurations; stiff; moderate cohesive to non adhesive pdc bit fracture and habit; dull earthy luster; silty to gritty texture; grading to very fine to fine sandstone; mostly interbedded; some ashy sections and carbonaceous in parts. [:I EP()CH 22 UNOCALe STAR #1 . Tuffaceous Siltstone (8490' to 8520') = pale yellowish brown to dark yellowish brown; moderate indurations; moderate cohesiveness to non adhesive; pdc bit grooved fracture and habit; greasy to dull earthy luster; silty to gritty text massive gradational beds of tuffaceous silt, clay and carbonaceous clay; slight dense sand laminae. Sand (8515' to 8545') = light brownish gray to light gray; clast size (coarse grains-scattered) dominant medium to very fine and grading to silt; sub round to rounded; moderate to well developed sphericity; very poor sorting; polished to pitted texture; sub mature nature; predominantly clay/ash matrix supported; composed of 80% quartz, 20% lithics; estimate tight to occasional very poor intergranular porosity. Tuffaceous Claystone (8545' to 8635') = light brown to medium brownish gray; finn, hydro fissile; very reactive with water; crumbly to crunchy; pdc bit typical fracture and cuttings habit; dull earthy luster; smooth to occasional gritty texture; grades to and inter- bedded with siltstone. Sandstone (8635' to 8690') = light gray to light greenish gray; very fine lower to medium lower with rare coarse grains; moderate to poor sorting; angular to sub round; moderate sphericity; composed 60% quartz and 40% lithics; 90% consolidated in sample; predominantly matrix (clay, ash, oce silt) supported; common to abundant clay and siltstone laminations; tight to rare trace very poor intergranular porosity. Coal (8690' to 8750') = black to very dark brown; hard; brittle to flaky in part; hackly to sub conchoidal to splintery fracture; irregular to sub tabular cuttings habit; resinous to greasy luster; smooth texture; commonly interbedded with and grading to carbonaceous claystone; common to abundant visible degassing. . Sandstone (7850' to 8840') = very light gray to light brownish gray; very fine lower to medium lower with rare coarser grains; sub round overall; moderate sphericity; composed of 50% quartz, 50% lithics; 95% consolidated; predominantly matrix supported; matrix composed of claylash and occasional silt; common to abundant clay and ash laminations; porosity predominantly in filled with matrix material; estimate tight to trace very poor intergranular porosity. Tuffaceous Siltstone (8840' to 8870~ = dark yellowish brown to dusky yellowish brown; moderate indurations; stiff; moderate cohesive to non adhesive pdc bit fracture and habit; dull earthy luster; silty to gritty texture; grading to very fine to fine sandstone; mostly interbedded; some ashy sections and carbonaceous in parts. Tuffaceous Claystone (8870' to 8820') = light brown to medium brownish gray; finn, hydro fissile; very reactive with water; crumbly to crunchy; pdc bit typical fracture and cuttings habit; dull earthy luster; smooth to occasional gritty texture; grades to and inter- bedded with siltstone. Tuffaceous Siltstone (8840' to 8870') = dark yellowish brown to dusky yellowish brown; moderate indurations; stiff; moderate cohesive to non adhesive pdc bit fracture and habit; dull earthy luster; silty to gritty texture; trace grading to very fine sandstone; inter- bedded with clay; occasional carbonaceous material. . Tuffaceous Claystone (8880' to 9000') = dark yellowish brown; soft in ashy sections to finn; stiff some mushy; pdc bit grooved fracture and habit; dull earthy luster; silty to clayey some ash texture; massive gradational beds of silt and clay becoming ashy in part. Tuffaceous Siltstone (9010' to 9050') = dark yellowish brown; brittle in parts to finn; crumbly to crunchy; slight to moderate cohesive to non adhesive; pdc bit grooved fracture and habit; dull earthy organic luster; silty to clayey texture; massive gradational beds of tuffaceous silt and clay; composed of 50% silt, 50% clay. f.:I EI)OCH 23 . . . UNOCALe STAR #1 Oevitrified Ash (9090' to 9105') = light brown gray mottled very light gray; very poor indurations; greasy luster; expansive; ashy texture; reworked and redeposit; visible pyro-clastic relic shards; thin to thick beds composed of 70% ash, 30% silt. TO at 9130' on 7/24/04 at 22:09 [:I El)()CH 24 UNOCALe STAR #1 SURVEYS True Survey Inclina- Azimuth Course Vertical Vertical Coordinates Closure Dogleg Build Walk Depth tion length Depth Section N/S EIW Distance Angle Severity Rate Rate (ft) (deg) (deg) (ft) (ft) (ft) (ft) (ft) (ft) (deg) (d/100') (d/100') (d/100') 0 0.00 0.00 0 0 0.00 0.00 S 0.00 W 0.00 180.00 50 0.29 285.39 50 50.00 0.13 0.03 N 0.12 W 0.13 285.35 0.58 0.58 570.78 100 0.58 291.91 50 100.00 0.50 0.16 N 0.48 W 0.51 288.64 0.59 0.58 13.04 150 0.57 295.99 50 150.00 0.99 0.36 N 0.94 W 1.01 291.28 0.08 -0.02 8.16 200 0.56 309.27 50 199.99 1.45 0.63 N 1.35 W 1.49 294.97 0.26 -0.02 26.56 250 0.64 304.92 50 249.99 1.93 0.94 N 1.77 W 2.00 298.08 0.18 0.16 -8.70 300 0.67 300.05 50 299.99 2.46 1.25 N 2.25 W 2.57 299.04 0.13 0.06 -9.74 350 0.79 299.45 50 349.98 3.07 1.57 N 2.80 W 3.21 299.18 0.24 0.24 -1.20 400 0.83 300.10 50 399.98 3.74 1.92 N 3.42 W 3.92 299.29 0.08 0.08 1.30 450 0.82 294.89 50 449.97 4.44 2.25 N 4.05 W 4.64 299.01 0.15 -0.02 -10.42 500 0.86 297.89 50 499.97 5.15 2.57 N 4.71 W 5.37 298.66 0.12 0.08 6.00 550 0.82 301.45 50 549.96 5.85 2.94 N 5.35 W 6.10 298.77 0.13 -0.08 7.12 600 0.69 311.05 50 599.96 6.45 3.32 N 5.88 W 6.75 299.46 0.36 -0.26 19.20 650 0.59 310.70 50 649.95 6.94 3.69 N 6.30 W 7.30 300.33 0.20 -0.20 -0.70 700 0.59 306.62 50 699.95 7.40 4.01 N 6.70 W 7.81 300.87 0.08 0.00 -8.16 750 0.61 310.64 50 749.95 7.87 4.34 N 7.11 W 8.33 301.36 0.09 0.04 8.04 800 0.79 312.20 50 799.95 8.40 4.74 N 7.57 W 8.93 302.05 0.36 0.36 3.12 850 0.85 324.20 50 849.94 8.97 5.27 N 8.04 W 9.62 303.25 0.36 0.12 24.00 900 0.80 327.06 50 899.94 9.49 5.87 N 8.45 W 10.29 304.77 0.13 -0.10 5.72 950 0.71 322.88 50 949.93 9.98 6.41 N 8.83 W 10.91 305.97 0.21 -0.18 -8.36 1000 0.63 326.26 50 999.93 10.41 6.88 N 9.17 W 11.46 306.90 0.18 -0.16 6.76 1050 0.64 332.77 50 1049.92 10.78 7.36 N 9.45 W 11.97 307.92 0.15 0.02 13.02 1100 0.60 334.22 50 1099.92 11.12 7.84 N 9.69 W 12.46 308.99 0.09 -0.08 2.90 1150 0.56 327.56 50 1149.92 11 .45 8.28 N 9.93 W 12.93 309.83 0.16 -0.08 -13.32 1200 0.61 329.78 50 1199.92 11.80 8.72 N 10.20 W 13.42 310.54 0.11 0.10 4.44 . [:.I E.l~()(~H . . UNOCALe STAR #1 True Survey Inclina- Azimuth Course Vertical Vertical Coordinates Closure Dogleg Build Walk Depth tion Length Depth Section N/S EIW Distance Angle Severity Rate Rate (ft) (deg) (deg) (ft) (ft) (ft) (ft) (ft) (ft) (deg) (d/100') (d/100') (d/100') 1250 0.71 332.08 50 1249.91 12.18 9.22 N 10.48 W 13.96 311.36 0.21 0.20 4.60 1300 0.78 329.42 50 1299.91 12.61 9.79 N 10.79 W 14.57 312.21 0.16 0.14 -5.32 1350 0.75 332.43 50 1349.90 13.05 10.37 N 11.12 W 15.21 313.02 0.10 -0.06 6.02 1400 0.78 339.16 50 1399.90 13.45 10.98 N 11.39 W 15.82 313.95 0.19 0.06 13.46 1450 0.86 352.03 50 1449.89 13.76 11.67 N 11.56 W 16.43 315.26 0.40 0.16 25.74 1614 1.29 334.27 164 1613.87 15.32 14.55 N 12.54 W 19.21 319.26 0.33 0.26 -10.83 1709 1.17 325.72 95 1708.84 16.68 16.32 N 13.55 W 21.21 320.30 0.23 -0.13 -9.00 1804 1.33 322.88 95 1803.82 18.22 18.00 N 14.76 W 23.28 320.65 0.18 0.17 -2.99 1898 1.53 325.61 94 1897.79 19.95 19.90 N 16.13 W 25.62 320.99 0.22 0.21 2.90 1993 4.04 283.64 95 1992.68 24.22 21.74 N 20.10 W 29.61 317.25 3.24 2.64 -44.18 2087 4.48 282.35 94 2086.42 31.20 23.31 N 26.90 W 35.59 310.91 0.48 0.47 -1.37 2181 6.82 283.14 94 2179.96 40.46 25.36 N 35.92 W 43.97 305.22 2.49 2.49 0.84 2276 9.79 282.59 95 2273.95 54.17 28.40 N 49.30 W 56.90 299.95 3.13 3.13 -0.58 2370 11.49 286.36 94 2366.33 71.50 32.78 N 66.09 W 73.77 296.39 1.95 1.81 4.01 2465 13.66 291.96 95 2459.05 92.00 39.65 N 85.57 W 94.31 294.86 2.62 2.28 5.89 2560 16.22 290.93 95 2550.83 116.17 48.58 N 108.37 W 118.76 294.15 2.71 2.69 -1.08 2655 18.99 287.44 95 2641.38 144.68 57.96 N 135.52 W 147.39 293.15 3.12 2.92 -3.67 2749 22.25 286.55 94 2729.34 177.66 67.61 N 167.17 W 180.33 292.02 3.48 3.47 -0.95 2844 25.13 287.52 95 2816.33 215.68 78.81 N 203.66 W 218.38 291.15 3.06 3.03 1.02 2939 27.37 287.17 95 2901.53 257.53 91.33 N 243.76 W 260.31 290.54 2.36 2.36 -0.37 3034 29.96 285.37 95 2984.88 302.97 104.07 N 287.51 W 305.76 289.90 2.87 2.73 -1.89 3128 29.47 284.46 94 3066.52 349.51 116.06 N 332.53 W 352.20 289.24 0.71 -0.52 -0.97 3223 29.43 284.56 95 3149.24 396.18 127.76 N 377.75 W 398.77 288.69 0.07 -0.04 0.11 3317 28.89 283.74 94 3231.33 441.95 138.96 N 422.16 W 444.44 288.22 0.71 -0.57 -0.87 3412 29.55 285.88 95 3314.24 488.27 150.82 N 466.99 W 490.74 287.90 1.30 0.69 2.25 . [:I El)()(~H . 26 . UNOCALe STAR #1 True Survey Inclina- Azimuth Course Vertical Vertical Coordinates Closure Dogleg Build Walk Depth tion Length Depth Section N/S EIW Distance Angle Severity Rate Rate (ft) (deg) (deg) (ft) (ft) (ft) (ft) (ft) (ft) (deg) (d/100') (d/100') (d/100') 3507 29.12 284.78 95 3397.06 534.74 163.13 N 511.87 W 537.24 287.68 0.73 -0.45 -1.16 3601 29.21 289.83 94 3479.15 580.32 176.75 N 555.57 W 583.01 287.65 2.62 0.10 5.37 3696 28.83 288.94 95 3562.23 626.04 192.05 N 599.04 W 629.07 287.78 0.61 -0.40 -0.94 3791 28.16 288.27 95 3645.72 671.08 206.51 N 641.99 W 674.39 287.83 0.78 -0.71 -0.71 3885 29.53 288.90 94 3728.05 716.14 220.97 N 684.97 W 719.73 287.88 1.49 1.46 0.67 3980 28.89 288.92 95 3810.97 762.18 235.99 N 728.83 W 766.09 287.94 0.67 -0.67 0.02 4074 30.57 287.58 94 3892.60 808.53 250.58 N 773.10 W 812.70 287.96 1.92 1.79 -1.43 4169 29.94 286.34 95 3974.66 856.22 264.54 N 818.88 W 860.55 287.90 0.93 -0.66 -1.31 4263 29.33 286.55 94 4056.36 902.57 277.70 N 863.46 W 907.02 287.83 0.66 -0.65 0.22 4358 29.38 286.44 95 4139.16 949.01 290.92 N 908.12 W 953.58 287.76 0.08 0.05 -0.12 4453 28.50 286.39 95 4222.30 994.85 303.91 N 952.21 W 999.54 287.70 0.93 -0.93 -0.05 4478 28.39 286.65 25 4244.28 1006.72 307.30 N 963.63 W 1011.44 287.69 0.66 -0.44 1.04 4634 28.34 286.65 156 4381.55 1080.61 328.54 N 1034.63 W 1085.54 287.62 0.03 -0.03 0.00 4728 28.32 286.87 94 4464.29 1125.07 341.40 N 1077.35 W 1130.15 287.58 0.11 -0.02 0.23 4823 29.22 286.13 95 4547.57 1170.66 354.38 N 1121.19 W 1175.86 287.54 1.02 0.95 -0.78 4917 28.61 283.92 94 4629.85 1216.05 366.17 N 1165.07 W 1221.26 287.45 1.31 -0.65 -2.35 5012 26.78 280.74 95 4713.97 1260.18 375.63 N 1208.18 W 1265.23 287.27 2.48 -1.93 -3.35 5107 25.80 279.77 95 4799.14 1302.23 383.13 N 1249.59 W 1307.00 287.05 1.13 -1.03 -1.02 5201 25.06 280.40 94 4884.03 1342.57 390.19 N 1289.33 W 1347.08 286.84 0.84 -0.79 0.67 5296 23.63 277.27 95 4970.59 1381.65 396.23 N 1328.01 W 1385.86 286.61 2.03 -1.51 -3.29 5390 22.07 272.26 94 5057.22 1417.83 399.31 N 1364.35 W 1421.58 286.31 2.65 -1.66 -5.33 5485 20.70 268.73 95 5145.68 1451.75 399.65 N 1398.97 W 1454.93 285.94 1.98 -1 .44 -3.72 5580 19.86 268.30 95 5234.79 1483.75 398.80 N 1431.88 W 1486.38 285.56 0.90 -0.88 -0.45 5674 19.24 267.81 94 5323.37 1514.25 397.73 N 1463.32 W 1516.41 285.21 0.68 -0.66 -0.52 5768 18.99 262.90 94 5412.19 1543.70 395.25 N 1493.98 W 1545.38 284.82 1.73 -0.27 -5.22 . [1 EI)()C=H . 27 . UNOCALe STAR #1 True Survey Inclina- Azimuth Course Vertical Vertical Coordinates Closure Dogleg Build Walk Depth tion Length Depth Section N/S EIW Distance Angle Severity Rate Rate (ft) (deg) (deg) (ft) (ft) (ft) (ft) (ft) (ft) (deg) (d/100') (d/100') (d/100') 5863 18.78 257.22 95 5502.08 1572.16 389.95 N 1524.23 W 1573.32 284.35 1.95 -0.22 -5.98 5957 18.35 246.39 94 5591.22 1597.90 380.68 N 1552.55 W 1598.54 283.78 3.69 -0.46 -11.52 6052 17.50 235.74 95 5681.63 1619.89 366.64 N 1578.07 W 1620.10 283.08 3.56 -0.89 -11.21 6147 17.20 230.32 95 5772.32 1638.42 349.63 N 1600.68 W 1638.42 282.32 1.73 -0.32 -5.71 6242 17.33 228.39 95 5863.04 1655.46 331.27 N 1622.07 W 1655.56 281.54 0.62 0.14 -2.03 6336 16.73 228.71 94 5952.91 1671.80 313.04 N 1642.71 W 1672.27 280.79 0.65 -0.64 0.34 6431 17.94 228.85 95 6043.60 1688.69 294.39 N 1664.00 W 1689.84 280.03 1.27 1.27 0.15 6526 18.59 229.24 95 6133.81 1706.56 274.88 N 1686.49 W 1708.74 279.26 0.70 0.68 0.41 6621 18.18 229.83 95 6223.96 1724.75 255.43 N 1709.28 W 1728.26 278.50 0.47 -0.43 0.62 6715 17.30 231.57 94 6313.49 1742.59 237.29 N 1731.44 W 1747.62 277.80 1.09 -0.94 1.85 6810 16.75 228.64 95 6404.33 1759.70 219.46 N 1752.78 W 1766.46 277.14 1.07 -0.58 -3.08 6904 17.87 227.79 94 6494.07 1776.16 200.82 N 1773.63 W 1784.96 276.46 1.22 1.19 -0.90 6999 17.99 226.58 95 6584.46 1792.95 180.94 N 1795.08 W 1804.17 275.76 0.41 0.13 -1.27 7093 17.48 226.57 94 6673.99 1809.14 161.26 N 1815.87 W 1823.02 275.07 0.54 -0.54 -0.01 7188 16.73 226.39 95 6764.79 1824.90 142.02 N 1836.14 W 1841.62 274.42 0.79 -0.79 -0.19 7283 17.29 227.09 95 6855.63 1840.68 122.98 N 1856.38 W 1860.45 273.79 0.63 0.59 0.74 7378 17.61 228.06 95 6946.26 1857.19 103.76 N 1877.41 W 1880.27 273.16 0.46 0.34 1.02 7472 16.83 226.85 94 7036.04 1873.28 84.95 N 1897.91 W 1899.81 272.56 0.91 -0.83 -1.29 7567 17.56 227.28 95 7126.80 1889.35 65.82 N 1918.47 W 1919.60 271.96 0.78 0.77 0.45 7661 18.49 229.58 94 7216.19 1906.57 46.54 N 1940.24 W 1940.80 271.37 1.25 0.99 2.45 7756 17.97 228.19 95 7306.42 1924.35 27.00 N 1962.63 W 1962.82 270.79 0.71 -0.55 -1 .46 7850 16.87 229.81 94 7396.10 1941.22 8.53 N 1983.86 W 1983.88 270.25 1.28 -1.17 1.72 7945 16.21 230.46 95 7487.17 1957.86 8.81 S 2004.62 W 2004.64 269.75 0.72 -0.69 0.68 8040 16.19 228.34 95 7578.40 1973.90 26.05 S 2024.74 W 2024.90 269.26 0.62 -0.02 -2.23 8134 16.68 228.54 94 7668.56 1989.64 43.70 S 2044.64 W 2045.10 268.78 0.52 0.52 0.21 . ~ EI)()(~H . 28 . UNOCALe STAR #1 True Survey Inclina- Azimuth Course Vertical Vertical Coordinates Closure Dogleg Build Walk Depth tion Length Depth Section N/S EIW Distance Angle Severity Rate Rate (ft) (deg) (deg) (ft) (ft) (ft) (ft) (ft) (ft) (deg) (d/100') (d/100') (d/1 00') 8261 15.01 228.96 127 7790.73 2010.31 66.56 S 2070.70 W 2071.77 268.16 1.32 -1.31 0.33 8387 14.09 228.46 126 7912.69 2029.17 87.45 S 2094.49 W 2096.31 267.61 0.74 -0.73 -0.40 8513 12.80 228.30 126 8035.23 2046.48 106.90 S 2116.39 W 2119.09 267.11 1.02 -1.02 -0.13 8639 12.07 228.29 126 8158.28 2062.49 124.95 S 2136.65 W 2140.30 266.65 0.58 -0.58 -0.01 8765 11.41 228.27 126 8281.64 2077.60 142.02 S 2155.78 W 2160.46 266.23 0.52 -0.52 -0.02 8892 11.17 228.80 127 8406.18 2092.35 158.48 S 2174.41 W 2180.18 265.83 0.21 -0.19 0.42 9018 10.68 227.26 126 8529.90 2106.35 174.44 S 2192.17 W 2199.10 265.45 0.45 -0.39 -1.22 9050 10.52 227.82 32 8561.35 2109.76 178.42 S 2196.51 W 2203.75 265.36 0.59 -0.50 1.75 9130 10.53 227.82 80 8640.01 2118.28 188.23 S 2207.34 W 2215.35 265.13 0.01 0.01 0.00 . ~ El)()(:H . 29 . UNOCALe STAR #1 DAILY MUD PROPERTIES Date FI Depth Den FV PV YP Gels API Cake Solids NAPlWate Sand PH CI Ca Temp FiI r 7/11/04 0 9.2 156 23 43 14/21/24 6.4 2.010 2.6 0/95 0.10 9.0 29500 160 7/12104 74 562 9.3 76 21 42 14/18/22 6.4 2.0/0 3.6 0/94 2.5 9.0 29500 200 7/13104 80 1515 9.3 64 23 31 11/18/24 6.4 2.0/0 4.6 0/93 1.50 8.5 29500 260 7/14104 74 1507 9.2 50 16 23 7/12/14 6.4 2.0/0 2.6 0/95 0.10 8.5 29500 120 7/15/04 1515 9.1 43 11 14 3/516 8.4 2.0/0 3.0 0/95 0.10 8.0 24000 120 7/16/04 82 2200 9.3 42 14 16 5/7/8 6.6 2.010 4.6 0/93 0.25 9.0 30000 220 7/17/04 100 4220 9.2 46 13 19 5/13/19 6.0 2.0/0 3.5 0/94 0.25 9.0 30500 280 7/18/04 84 4530 9.3 46 15 20 7/14/19 5.0 2.0/0 4.6 0/93 0.25 8.8 29500 300 7/19/04 76 4530 9.3 48 14 22 7/12/17 5.2 2.010 4.6 0/93 0.25 8.8 29500 300 Swap over to oil based mud system Date FI Depth Den FV PV YP Gels HTHP Cake Solids NAPlWate Sand Porn E Stab. Temp r 7/20/04 80 4728 9.2 109 52 22 12/22/24 6.4 0/3.0 10.4 74/14 0.10 2.1 918 7/21/04 86 6131 9.3 96 50 29 18/26/29 4.6 0/3.0 10.2 72/17 0.10 2.4 1431 7/22/04 98 7364 9.3 85 39 25 14/22/26 4.6 0/3.0 9.8 72/16 0.10 2.6 1489 7/23104 106 8505 9.2 86 33 12 8/16/18 5.0 0/3.0 10.0 73/15 0.10 2.8 1244 7/24/04 108 9115 9.2 95 27 10 12/19/21 4.0 0/3.0 9.8 74/14 0.10 3.1 1380 7/25/04 90 9130 9.3 126 24 12 12/16/18 3.8 0/3.0 9.9 74/14 0.10 3.0 1422 . [~ El)OC=H . 30 . UNOCALe STAR #1 BIT RECORD BIT RECORD Red Pad #1 Bit Grading I 0 D L B G 0 R N U U 0 E A T E N T L C A U H A E E L A R G E S R R T I E R 0 C I N N R R H 0 G C 0 0 A N S H P W W R A U S S R L L E D Bit Size Make Type SIN Jets Depth Depth Drilled Hours Ave Ave Ave Ave No. In Out FtlHr WOB RPM PSI C C W 1 12.25 HTC MX-C1 0.739 38' 1515' 1477' 21.34 97.7 7.2 102 718 3 4 1 E TO T 2 T 2 8.5 HC HCM605 7103535 5X12 1515' 4530' 3014' 23.2 160 5.5 66 1966 1 1 W A X N TO T 0 3 6.125 HC HCM406 7102177 3X16 4530' 9130' 4599' 71.1 96 5.2 71 2658 1 1 W A X N TO t 0 . [1 EI)OC=H . 31 . . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR J.D. Hertwick DATE July 11, 2004 TIME 24:00:00 DAILY WELLSITE REPORT g EPOCH PRESENT OPERATION Work on Pump DEPTH 37.00000 YESTERDAY 37.00000 24 HOUR FOOTAGE 0 CASING INFORMATION 16" @ 59' DEPTH SURVEY DATA NA BIT INFORMATION NO. SIZE TYPE SIN NA DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW VIS . FC SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS INCLINATION AZIMUTH VERTICAL DEPTH INTERVAL CONDITION REASON JETS IN OUT FOOTAGE HOURS T/B/C PULLED HIGH LOW AVERAGE CURRENT AVG NA @ @ FT/HR NA @ @ AMPS NA @ @ KLBS NA @ @ RPM NA @ @ PSI DEPTH NA PV YP FL Gels CL- SD OIL MBL pH Ca+ CCI HIGH LOW AVERAGE NA @ @ @ @ CHROMATOGRAPHY (ppm) @ @ @ @ @ @ @ @ @ @ NA LITHOLOGY/REMARKS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL LITHOLOGY NA PRESENT LITHOLOGY NA DAILY ACTIVITY SUMMARY Epoch rig up to log on at spud. Rig currently working on mud pump. EPOCH PERSONNEL ON BOARD 4 DAILY COST $2540 REPORT BY Brian O'Fallon . TRIP GAS WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENTBACKGROUND~VG GAS DESCRIPTION UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR Larry McCalister/J.D Hertweck DATE Ju112, 2004 TIME 24:00:00 . DAILYWELLSITE REPORT ~ EPOCH DEPTH 573.00 YESTERDAY 38.00 24 HOUR FOOTAGE 535 SURVEY DATA CASING INFORMATION 16"@67' DEPTH INCLINATION BIT INFORMATION NO. SIZE 1 121/4" TYPE HTC MX-C1 . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS FC 2/0 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL SIN JETS TFA 0.739 INTERVAL IN OUT 37' FOOTAGE 5.2 221 o 4 217 LOW @ 40.00 @ 38.00 @ 40.00 @ 38.00 @ 38.00 320.4 6853 7 114 638 HIGH @ 189.00 @ 551.00 @ 373.00 @ 200.00 @ 299.00 DEPTH 562' 21 YP 2.5 OIL 42 o FL 6.4 MBL 7.5 AZIMUTH 53!5' HOURS 9.3 PRESENT OPERATION Drilling VERTICAL DEPTH CONDITION T/B/C REASON PULLED 76 3.6 PV SD HIGH LOW 3 @ 553.00 0 @ 78.00 o @ 573.00 0 @ 573.00 CHROMATOGRAPHY (ppm) @ 553.00 16 @ 78.00 195.9 @ 573.00 0 @ 573.00 0.0 @ 573.00 0 @ 573.00 0.0 @ 573.00 0 @ 573.00 0.0 @ 573.00 0 @ 573.00 0.0 NONE LITHOLOGY/REMARKS 545 o o o o AVERAGE 1.5 0.0 AVERAGE 102.4 2687.5 2.7 87.7 529.6 Gels 14/18/22 pH 9.0 CURRENT AVG 118.05908 4060.27393 1.54564 91.91162 622.12738 FT/HR AMPS KLBS RPM PSI CL- 29500 Ca+ 200 CCI TRIP GAS 0@371' WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENT BACKGROUND/AVG 2/1 GAS DESCRIPTION 40% Conglomeratic Sand and Sand, 15% Conglomerate, 10% Siltstone, 5% Carbonaceous Shale and Coal, 30% Claystone 80% Conglomeratic Sand and Sand, 20% Claystone LITHOLOGY PRESENT LITHOLOGY DAILY ACTIVITY SUMMARY Finish rigging up and work on electrical problems with mud pumps while picking up drill pipe. Drill from 37' to 371' and pull out of hole with 4" HWDP and run in with 5" HWDP. Drill from 371' to 573'. . EPOCH PERSONNEL ON BOARD 4 DAILY COST $2540 REPORT BY Brian O'Fallon . UNOCAL ALASKA AFE 162580 STAR 1 DAILYWELLSITE REPORT g EPOCH REPORT FOR Larry McAlister/Jim Brown DATE July 13, 2004 TIME 24:00:00 DEPTH 1515.00 YESTERDAY 573.00 24 HOUR FOOTAGE 942 PRESENT OPERATION Trip out to run surface casing. SURVEY DATA CASING INFORMATION 16" @ 67' DEPTH INCLINATION BIT INFORMATION NO. SIZE 1 12 1/4" TYPE HTC MX-C1 DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS 64 FC 2/0 SOL 4.6 . MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL SIN INTERVAL IN OUT 37 1515 FOOTAGE 1478 260.2 6567 17 128 1029 HIGH @ 1371.00 @ 851.00 @ 1312.00 @ 1075.00 @ 1512.00 LOW 8.5 @ 1502.00 815 @ 1179.00 o @ 895.00 38 @ 708.00 621 @ 576.00 AZIMUTH VERTICAL DEPTH HOURS 21.3 CONDITION T/B/C REASON PULLED Casing Point JETS TFA 0.739 PV SD DEPTH 1515 23 YP 31 1.5 OIL 0 FL 6.4 Gels MBL 10 pH AVE R.I\G E 18.6 0.0 3409.5 0.0 0.0 0.0 0.0 AVERAGE 95.2 3570.1 9.7 111.7 826.8 CURRENT AVG 78.70100 3352.59000 12.34800 104.94200 1028.17300 FT/HR AMPS KLBS RPM PSI HIGH LOW 96 @ 1369.00 0 @ 643.00 o @ 1515.00000 0 @ 1515.00000 CHROMATOGRAPHY (ppm) 18505 @ 1369.00 101 @ 643.00 o @ 1515.00000 0 @ 1515.00000 o @ 1515.00000 0 @ 1515.00000 o @ 1515.00000 0 @ 1515.00000 o @ 1515.00000 0 @ 1515.00000 NONE LITHOLOGY/REMARKS 11/18/24 8.5 CL- 29500 260 CCI Ca+ TRIP GAS WIPER GAS 10u@1515' SURVEY CONNECTION GAS HIGH 0 AVG 0 CURRENT 0 CURRENT BACKGROUNDIAVG 5/19 GAS DESCRIPTION LITHOLOGY 20% Sand and Conglomerate, 10% Siltstone, 10% Coal and Carbonaceous Shale, 60% Claystone PRESENT LITHOLOGY 5% Sand and Conglomerate, 5% Coal, 90% Claystone DAILY ACTIVITY Drill from 573' to 1515', casing point, circulate bottoms up and drop and circulate out carbide, 8 barrels over guage. SUMMARY Pump out of hole, maximum 52 units of gas. Trip to bottom and circulate and condition hole, trip gas 10 units, and drop carbide, 11 barrels over guage. Circulate and condition hole, and trip out of hole. EPOCH PERSONNEL ON BOARD 4 DAILY COST $2650 REPORT BY Brian O'Fallon . . . . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR Jim Brown 1 J.D. Hertweck DATE July 14, 2004 TIME 24:00:00 DAILY WELLSITE REPORT g EPOCH DEPTH 1515.00000 YESTERDAY 1515.00000 PRESENT OPERATION Nipple Up BOP 24 HOUR FOOTAGE 0 SURVEY DATA CASING INFORMATION 95/8" @ 1507' DEPTH INCLINATION AZIMUTH VERTICAL DEPTH BIT INFORMATION NO. SIZE 1 121/4" TYPE HTC MX-1 DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.2 VIS 50 FC 2/0 SOL 2.6 MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL INTERVAL CONDITION REASON SIN JETS IN OUT FOOTAGE HOURS T/B/C PULLED TFA 0.739 37 1515 1478 21.3 Casing Point HIGH LOW AVERAGE CURRENT AVG NA @ @ FTIHR NA @ @ AMPS NA @ @ KLBS NA @ @ RPM NA @ @ PSI DEPTH 1507' PV 16 YP 23 FL 13.4 Gels 7/12/14 CL- 29500 SD 0.10 OIL 0 MBL !5.0 pH 8.5 Ca+ 120 CCI AVERAGE 3 HIGH LOW 5 @ 2 @ @ @ CHROMATOGRAPHY (ppm) @ @ @ @ @ @ @ @ @ @ TRIP GAS 5u @ 1515' WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENT BACKGROUND/AVG NA/3 NA LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY NA PRESENT LITHOLOGY 5% Sand and Conglomerate, 5% Coal, 90% Claystone DAILY ACTIVITY Finish tripping out of hole and lay down bit and BHA. Rig up an run casing to 1507'. Circulate and condition hole, SUMMARY 5 units of trip gas, and rig up cement head, and procede with cementing procedure. Run gyro survey, and nipple down diverter. Nipple up BOPE. EPOCH PERSONNEL ON BOARD 4 DAILY COST $2650 REPORT BY Brian O'Fallon . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR Jim Brown / J.D. Hertweck DATE July 15, 2004 TIME 24:00:00 DAILY WELLSITE REPORT U EPOCH DEPTH 1515.00000 YESTERDAY 1515.00000 24 HOUR FOOTAGE 0 PRESENT OPERATION Pick up Drill Pipe SURVEY DATA CASING INFORMATION 95/8" @ 1507' DEPrH INCLINATION AZIMUTH VERTICAL DEPTH BIT INFORMATION NO. SIZE 1 121/4" TYPE HTC MX-1 . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.1 VIS 43 FC 2/0 SOL 3.0 . MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL INTERVAL CONDITION REASON SIN JETS IN OUT FOOTAGE HOURS T/B/C PULLED TFA 0.739 37 1515 1478 21.3 Casing Point HIGH LOW AVERAGE CURRENT AVG NA @ @ FT/HR NA @ @ AMPS NA @ @ KLBS NA @ @ RPM NA @ @ PSI DEPTH 1515' PV 11 YP 14 FL 8.4 Gels 3/5/6 CL- 24000 SD 0.10 OIL 0 MBL 5.0 pH 8.0 Ca+ 120 CCI HIGH LOW NA@ NA@ @ @ CHROMATOGRAPHY (ppm) @ @ @ @ @ @ @ @ @ @ AVERAGE NA TRIP GAS NA WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENT BACKGROUND/AVG NAlNA NA LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY NA PRESENT LITHOLOGY 5% Sand and Conglomerate, 5% Coal, 90% Claystone DAILY ACTIVITY Finish nipple up, and test BOP, change out bottom rams after test failed, pick up DP and stand in derrick, SUMMARY and continue testing BOP. EPOCH PERSONNEL ON BOARD 4 DAILY COST $2650 REPORT BY Brian O'Fallon . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR J.D Hertweck 1 Jim Brown DATE Ju116, 2004 TIME 24:00:00 . DAILY WELLSITE REPORT U EPOCH DEPTH 2233.00 YESTERDAY 1515.00 24 HOUR FOOTAGE 718 CASING INFORMATION 95/8" @ 1507' DEPTH SURVEY DATA 2181' BIT INFORMATION NO. SIZE 2 8 1/2" TYPE HC HCM605 . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS FC 2/0 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL INCLINATION 6.82 SIN INTERVAL IN OUT 1515 FOOTAGE 718 AZIMUTH 283.14 HOURS 5.36 AVERAGE 164.8 1859.7 4.1 71.5 1718.3 6.6 5.0 Gels 5/7/8 pH 9.0 PRESENT OPERATION Drilling VERTICAL DEPTH 2179.96' CONDITION T/B/C REASON PULLED JETS TFA 0.552 HIGH LOW 322.0 @ 2048.00 21.4 @ 1798.00 3352 @ 1516.00 149 @ 2140.00 7 @ 2101.00 0 @ 1536.00 84 @ 2037.00 0 @ 1993.00 1836 @ 2048.00 1028 @ 1516.00 42 4.6 DEPTH 2200' 14 YP 0.25 OIL 16 o FL MBL CURRENT AVG 181.10095 2569.73853 5.41983 78.98023 1777.54626 FT/HR AMPS KLBS RPM PSI CL- 30000 Ca+ 220 CCI PV SD 108 o HIGH LOW @ 1579.00 0 @ 1658.00 @ 2233.00 0 @ 2233.00 CHROMATOGRAPHY (ppm) @ 1579.00 48 @ 1555.00 @ 2030.00 0 @ 2011.00 @ 2233.00 0 @ 2233.00 @ 2233.00 0 @ 2233.00 @ 2233.00 0 @ 2233.00 6101.5 0.2 0.0 0.0 0.0 TRIP GAS 0 @ 1515' WIPER GAS SURVEY CONNECTION GAS HIGH 0 AVG 0 CURRENT 0 CURRENT BACKGROUND/AVG 10/31 GAS DESCRIPTION LITHOLOGY 70% Claystone, 10% Coal and Carbonaceous Shale, 10% Sandstone, 10% Siltstone PRESENT LITHOLOGY 80% Claystone, 10% Siltstone, 10% Coal and Carbonaceous Shale DAILY Finish testing BOP and finish picking up drill pipe and stacking in derrick. Pick up BHA, and trip in hole to 1004', and ACTIVITY cut drill line. Trip in hole to 1382', and choke drill with both crews. Drill cement and shoe and 20' of formation to SUMMARY 1535'. Circulate hole clean and rig up Schlumberger for LOT, 14.15 ppg EMW. Drill from 1535' to 2233'. EPOCH PERSONNEL ON BOARD 4 AVERAGE 31.5 0.0 21381 19 o o o NONE LITHOLOGY/REMARKS REPORT BY Brian O'Fallon DAILY COST $2650 . UNOCAL ALASKA . DAILY WELLSITE REPORT U EPOCH AFE 162580 STAR 1 REPORT FOR J.D. Hertweck, Jim Brown DATE Jul 17, 2004 TIME 24:00:00 DEPTH 4315.00 YESTERDAY 2233.00 24 HOUR FOOTAGE 2082 CASING INFORMATION 95/8" @ 1507' DEPTH SURVEY DATA 4263' BIT INFORMATION NO. SIZE 2 8 1/2" TYPE HC HCM605 . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.2 VIS FC 2/0 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL INCLINATION 29.33 SIN INTERVAL IN OUT 1515 FOOTAGE 1800 PRESENT OPERATION Drilling AZIMUTH 286.55 VERTICAL DEPTH 4056.36' JETS TFA 0.552 HIGH 303.6 @ 2479.00 5967 @ 3279.00 15 @ 3846.00 89 @ 2418.00 2397 @ 4292.00 DEPTH 4220' 46 PV 13 YP 3.5 SD 0.25 OIL 7.5 143 o o 1025 LOW @ 3867.00 @ 2655.00 @ 2965.00 @ 2748.00 @ 3676.00 HOURS 21.5 CONDITION T/B/C REASON PULLED 19 o FL B.O MBL !5.0 AVERAGE 163.5 3088.9 5.8 64.4 2067.1 CURRENT AVG 101.19299 4789.31396 7.77154 80.72776 2276.15918 FT/HR AMPS KLBS RPM PSI 192 o HIGH LOW @ 4142.00 0 @ 3019.00 @ 4315.00 0 @ 4315.00 CHROMATOGRAPHY (ppm) @ 4142.00 91 @ 3019.00 @ 4140.00 0 @ 2341.00 @ 4251.00 0 @ 3121.00 @ 4315.00 0 @ 4315.00 @ 4315.00 0 @ 4315.00 NONE LITHOLOGY/REMARKS Gels 5/13/19 pH 9.0 CL- 30500 Ca+ 280 CCI AVERAGE 86.1 0.0 36714 92 23 o o 16343.3 16.0 1.0 0.0 0.0 TRIP GAS NA WIPER GAS SURVEY CONNECTION GAS HIGH 0 AVG 0 CURRENT 0 CURRENT BACKGROUND/AVG 120/86 GAS DESCRIPTION LITHOLOGY 10% Sand and Sandstone, 10% Coal, 10% Carbonaceous Shale, 20% Siltstone, 50% Claystone PRESENT LITHOLOGY 10% Coal, 10% Carbonaceous Shale, 20% Siltstone, 60% Claystone DAILY ACTIVITY SUMMARY Drill ahead, rotating and sliding, from 2233' to 43'15'. EPOCH PERSONNEL ON BOARD 4 DAILY COST $2650 REPORT BY Brian O'Fallon . . . . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR J.D. Hertweck, Jim Brown DATE July 18, 2004 TIME 2400 hrs CASING INFORMATION SURVEY DATA BIT INFORMATION NO. SIZE TYPE 2 8$' HC HCM605 DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.2 VIS FC 2.0 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL DAILY WELLSITE REPORT (;I EPOCH DEPTH 4530.0 YESTERDAY 4315.00 24 HOUR FOOTAGE 215 DEPTH AZIMUTH PRESENT OPERATION Run Casing VERTICAL DEPTH HOURS 23.2 CONDITION T/B/C REASON PULLED TO INCLINATION SIN INTERVAL IN OUT 1515 4530 FOOTAGE 30'15 AVERAGE 124.6 3866.2 7.3 67.2 2261.3 CURRENT AVG 106.97500 4338.59700 2.98000 80.63000 2260.04200 FT/HR AMPS KLBS RPM PSI JETS TFA 0.552 HIGH 221.4 @ 4436.00 5236 @ 4360.00 18 @ 4513.00 82 @ 4474.00 2361 @ 4410.00 DEPTH 4530 46 PV 15 YP 4.6 SO 0.25 OIL LOW 23.5 @ 4511.00 150 @ 4525.00 o @ 4527.00 o @ 4330.00 2019 @ 4412.00 7/14/19 8.8 CL- 29500 Ca+ 300 CCI 20 FL 5.0 Gels o MBL 5.0 pH HIGH LOW 188 @ 4433.00 78 @ 4530.00 o @ 4530.00 0 @ 4530.00 CHROMATOGRAPHY (ppm) 36805 @ 4433.00 14871 @ 4530.00 112 @ 4435.00 14 @ 4530.00 21 @ 4372.00 1 @ 4530.00 o @ 4530.00 0 @ 4530.00 o @ 4530.00 0 @ 4530.00 AVERAGE 126.7 0.0 TRIP GAS WIPER GAS 200 SURVEY CONNECTION GAS HIGH 0 AVG 0 CURRENT 0 CURRENTBACKGROUND~VG GAS DESCRIPTION LITHOLOGY 10% Sand and Sandstone, 10% Coal, 10% Carbonaceous Shale, 20% Siltstone, 50% Claystone PRESENT LITHOLOGY 70% Claystone, 30% Siltstone DAILY ACTIVITY Drill ahead to TO at 4530'. Short trip to 3050, RIH, circulate and condition hole for logs. POOH. Rig up and run SUMMARY Wire line logs. Rig down Wire line. Rig up and run casing. 24926.4 :39.8 7.6 0.0 0.0 LITHOLOGY/REMARKS EPOCH PERSONNEL ON BOARD 4 DAILY COST $2650 REPORT BY Andrew Buchanan . . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR J.D. Hertweck, Jim Brown DATE July 19, 2004 TIME 2400hrs CASING INFORMATION SURVEY DATA BIT INFORMATION NO. SIZE TYPE DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS FC 2.0/0 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL DAILY WELLSITE REPORT n EPOCH DEPTH 4530.00 YESTERDAY 4530.00 PRESENT OPERATION Make up BHA 24 HOUR FOOTAGE 0 DEPTH INCLINATION AZIMUTH VERTICAL DEPTH INTERVAL CONDITION REASON SIN JETS IN OUT FOOTAGE HOURS T/B/C PULLED HIGH LOW AVEHAGE CURRENT AVG @ @ FT/HR @ @ AMPS @ @ KLBS @ @ RPM @ @ PSI DEPTH 48 PV 14 YP 22 FL 5.2 Gels 7/12/17 CL- 29500 4.6 SO 0.25 OIL 0 MBL pH 8.8 Ca+ 300 CCI HIGH LOW AVERAGE @ @ @ @ CHROMATOGRAPHY (ppm) @ @ @ @ @ @ @ @ @ @ TRIP GAS 160 WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENTBACKGROUND~VG LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY PRESENT LITHOLOGY 70% Claystone, 30% Siltstone DAILY ACTIVITY Finish running 7" casing, circulate and condition hole for cement, Rig up Dowell, run cement, bumped plug, rig SUMMARY down Dowell. N/U BOP's and test. Clean pits for OBM, M/U BHA. EPOCH PERSONNEL ON BOARD 4 . DAILY COST $2630.00 REPORT BY Andrew Buchanan . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR DATE Jul20,2004 TIME 2400HRS CASING INFORMATION SURVEY DATA BIT INFORMATION NO. SIZE TYPE 3 6.125" HC HCM406 . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.2 VIS FC 0/3 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL DAILY WELLSITE REPORT ~ EPOCH DEPTH 4903.00 YESTERDAY 4530.00 24 HOUR FOOTAGE 373 PRESENT OPERATION DEPTH AZIMUTH VERTICAL DEPTH INCLINATION INTERVAL CONDITION REASON SIN JETS IN OUT FOOTAGE HOURS T/B/C PULLED 7102177 TFA 0.589 4530 373 3.67 HIGH LOW AVERAGE CURRENT AVG 256.4 @ 4728.00 4.0 @ 4808.00 141.4 25.97524 FT/HR 4347 @ 4807.00 157 @ 4825.00 2939.6 1229.21570 AMPS 10 @ 4889.00 0 @ 4864.00 5.1 1.78680 KLBS 81 @ 4846.00 0 @ 4718.00 70.3 33.74472 RPM 2832 @ 4637.00 1888 @ 4551.00 2620.2 2278.00171 PSI DEPTH 4728 109 PV 52 YP 22 FL Gels 12/22/24 CL- 10.4 SD 0.1 OIL 74 MBL pH Ca+ CCI 410 o HIGH LOW @ 4608.00 2 @ 4532.00 @ 4903.00 0 @ 4903.00 CHROMATOGRAPHY (ppm) @ 4608.00 378 @ 4532.00 @ 4608.00 0 @ 4590.00 @ 4903.00 0 @ 4903.00 @ 4903.00 0 @ 4903.00 @ 4903.00 0 @ 4903.00 10112.9 0.5 0.0 0.0 0.0 AVERAGE 55.5 0.0 TRIP GAS WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENT BACKGROUND/AVG 20/20 71008 18 o o o LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Predominantly siltstone and clay with occasional sandstone and carbonaceous clay PRESENT LITHOLOGY 40% Sandstone, 40% Siltstone, 20% Clay DAILY ACTIVITY Finish P/U BHA, RIH with singles, displace hole to OBM, drill out + 20' new formation, preform LOT (15.5 SUMMARY EMW)Drill ahead EPOCH PERSONNEL ON BOARD 4 DAILY COST $2710 REPORT BY Andrew Buchanan . . . UNOCAL ALASKA AFE 162580 STAR 1 DAILY WELLSITE REPORT n EPOCH REPORT FOR Shane Hauck, Jim Brown DATE Jul 21, 2004 TIME 2400 hrs DEPTH 6232.00 YESTERDAY 4903.00 24 HOUR FOOTAGE 1329 SURVEY DATA CASING INFORMATION 95/8" @ 1507' 7" @4530' DEPTH INCLINATION BIT INFORMATION NO. SIZE 3 6.125" TYPE HC HCM406 DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS FC 0/3 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL SIN 7102177 INTERVAL JETS IN OUT 0.589 4530' FOOTAGE 1702' LOW @ 5767.00 @ 5018.00 @ 6050.00 @ 5884.00 @ 5855.00 AVERAGE 80.3 0.0 14826.0 2.7 0.1 0.0 0.0 PRESENT OPERATION Drill ahead AZIMUTH HOURS 21.3 AVERAGE 110.4 2945.9 5.5 62.8 2671.0 29 FL 4.6 Gels 72 MBL pH VERTICAL DEPTH CONDITION T/B/C REASON PULLED HIGH 280.2 @ 5984.00 8.6 4888 @ 6119.00 143 18 @ 5658.00 0 86 @ 6030.00 0 2973 @ 5924.00 1851 DEPTH 6131' 96 PV 50 YP 8.7 SD 0.1 OIL 303 o HIGH LOW @ 6103.00 19 @ 5544.00 @ 6232.00 0 @ 6232.00 CHROMATOGRAPHY (ppm) @ 6103.00 3206 @ 5544.00 @ 6103.00 0 @ 5459.00 @ 6094.00 0 @ 6071.00 @ 6232.00 0 @ 6232.00 @ 6232.00 0 @ 6232.00 58927 24 9 o o LITHOLOGY/REMARKS CURRENT AVG 12.51611 158.33061 1.09236 0.09928 2371.23462 FT/HR AMPS KLBS RPM PSI 18/26/29 CL- EPOCH PERSONNEL ON BOARD 4 . Ca+ CCI TRIP GAS WIPER GAS SURVEY 0 CONNECTION GAS HIGH 0 AVG 0 CURRENT 0 CURRENT BACKGROUND/AVG 80/70 GAS DESCRIPTION LITHOLOGY Predominantly interbedded siltstone and clay wit occasional coals and sandstone. PRESENT LITHOLOGY 40% Siltstone, 30% Claystone, 20% Coal, 10% Carbonaceous clay. DAILY ACTIVITY SUMMARY Drill ahead DAILY COST $2710 REPORT BY Andrew Buchanan UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR Shane Hauck, Jim Brown DATE Jul 22, 2004 TIME 2400 hrs . DAILY WELLSITE REPORT U EPOCH DEPTH 7569.00 YESTERDAY 6232.00 24 HOUR FOOTAGE 1337 SURVEY DATA CASING INFORMATION 95/8" @ 1507' 7" @ 4530' DEPTH INCLINATION BIT INFORMATION NO. SIZE 3 6.125" TYPE HC HCM406 . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS FC 0/3 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL PRESENT OPERATION Drill ahead AZIMUTH INTERVAL SIN JETS IN OUT FOOTAGE HOURS 7102177 0.589 4530' 3039' 38.8 HIGH LOW AVERAGE 384.6 @ 7459.00 9.7 @ 7286.00 101.7 6004 @ 7489.00 143 @ 6438.00 3920.2 21 @ 6811.00 0 @ 7557.00 5.3 84 @ 7208.00 -1 @ 7297.00 70.6 2970 @ 7155.00 1539 @ 7396.00 2707.8 DEPTH 7364 85 PV 39 YP 25 FL 4.6 Gels 9.8 SD 0.1 OIL 82 MBL pH 529 o HIGH LOW @ 7431.00 54 @ 7364.00 @ 7569.00 0 @ 7569.00 CHROMATOGRAPHY (ppm) @ 6421.00 10125 @ 7364.00 @ 7431.00 0 @ 6232.00 @ 6712.00 0 @ 6743.00 @ 7569.00 0 @ 7569.00 @ 7569.00 0 @ 7569.00 AVERAGE 140.8 0.0 VERTICAL DEPTH CONDITION T/B/C REASON PULLED 113946 69 15 o o LITHOLOGY/REMARKS CURRENT AVG 25.12051 143.65414 2.48275 0.03037 2184.81445 FT/HR AMPS KLBS RPM PSI 14/22/24 CL- Ca+ CCI TRIP GAS WIPER GAS SURVEY 0 CONNECTION GAS HIGH 8 AVG 1 CURRENT 0 CURRENT BACKGROUND/AVG 90/80 28252.7 18.5 0.1 0.0 0.0 LITHOLOGY Siltstone and Claystone with common Coal and occasional Sandstone PRESENT LITHOLOGY 50% Claystone, 40% Siltstone, 10% Sandstone DAILY ACTIVITY SUMMARY Drill ahead EPOCH PERSONNEL ON BOARD 4 DAILY COST $2710 REPORT BY Andrew Buchanan . GAS DESCRIPTION UNOCAL ALASKA AFE 162580 STAR 1 DAILYWELLSITE REPORT U EPOCH . REPORT FOR Shane Hauck, Jim Brown DATE Jul 23, 2004 TIME 2400 hrs PRESENT OPERATION Drill ahead DEPTH 8627.00 YESTERDAY 7569.00 24 HOUR FOOTAGE 1058 CASING INFORMATION 95/8" @ 1507' 7" @ 4530' DEPTH VERTICAL DEPTH INCLINATION AZIMUTH SURVEY DATA BIT INFORMATION NO. SIZE TYPE 3 6.125 HC HCM406 CONDITION T/B/C REASON PULLED INTERVAL SIN JETS IN OUT FOOTAGE HOURS 7102177 TFA 0.589 4530 4097 55.2 HIGH LOW AVERAGE 256.4 @ 8137.00 6.6 @ 7823.00 82.1 6226 @ 8400.00 142 @ 7584.00 5076.7 19 @ 7835.00 0 @ 7592.00 5.4 84 @ 8170.00 -1 @ 8030.00 76.4 2850 @ 8448.00 1800 @ 7647.00 2625.9 DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.2 VIS FC 0/3 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS CURRENT AVG 52.78533 5713.08398 2.82607 80.58423 2725.00024 FT/HR AMPS KLBS RPM PSI DEPTH 8505 . 33 YP 12 FL 5.0 Gels 0.10 OIL 73 MBL pH PV SD 86 10.0 8/16/18 CL- Ca+ CCI . HIGH LOW @ 8099.00 29 @ 8345.00 @ 8627.00 0 @ 8627.00 CHROMATOGRAPHY (ppm) @ 8099.00 1265 @ 8264.00 @ 8099.00 0 @ 7773.00 @ 8099.00 0 @ 7773.00 @ 8627.00 0 @ 8627.00 @ 8627.00 0 @ 8627.00 AVERAGE 116.7 0.0 906 o TRIP GAS WIPER GAS SURVEY CONNECTION GAS HIGH 0 AVG 0 CURRENT 0 CURRENT BACKGROUND/AVG 50/50 METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL 180815 138 29 o o 22434.5 20.1 0.4 0.0 0.0 LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Interbedded siltstone and claystone with common coals and thin to occasiona thick sand intervals PRESENT LITHOLOGY 60% Claystone, 40% Siltstone DAILY ACTIVITY SUMMARY Drill ahead EPOCH PERSONNEL ON BOARD 4 DAILY COST $2710 REPORT BY Andrew Buchanan . . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR Shane Hauck, Jim Brown DATE Jul 24, 2004 TIME 2400 hrs DAILY WELLSITE REPORT n EPOCH DEPTH 9130.00 YESTERDAY 8627.00 PRESENT OPERATION Wiper trip 24 HOUR FOOTAGE 503 CASING INFORMATION 95/8" @ 1507' 7" @ 4530' DEPTH SURVEY DATA INCLINATION AZIMUTH VERTICAL DEPTH BIT INFORMATION NO. SIZE TYPE 3 6.125" HC HCM403 SIN 7102177 INTERVAL JETS IN OUT TFE 0.589 4530' 9130' FOOTAGE 4600' HOURS 71.1 CONDITION T/B/C REASON PULLED TO DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 154.1 @ 8718.00 6.2 @ 8807.00 38.0 12.73466 FT/HR SURFACE TORQUE 6301 @ 8826.00 2934 @ 8972.00 5688.6 5702.36963 AMPS WEIGHT ON BIT 12 @ 8807.00 0 @ 8848.00 4.4 5.64917 KLBS ROTARY RPM 86 @ 8807.00 38 @ 8972.00 78.8 78.69186 RPM PUMP PRESSURE 2817 @ 9001.00 1896 @ 9083.00 2607.4 2547.07349 PSI DRILLING MUD REPORT DEPTH 9115' MW 9.2 VIS 95 PV 27 YP 10 FL 4.0 Gels 12/19/21 CL- FC 0/3 SOL 9.8 SD 0.1 OIL 74 MBL pH Ca+ CCI . MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 296 @ 8795.00 18 @ 9086.00 83.4 TRIP GAS swab 50u CUTTING GAS 0 @ 9130.00 0 @ 9130.00 0.0 WIPER GAS CHROMATOGRAPHY (ppm) SURVEY METHANE (C-1) 61961 @ 8794.00 2124 @ 9106.00 16357.7 CONNECTION GAS HIGH 0 ETHANE (C-2) 96 @ 8821.00 2 @ 9098.00 32.6 AVG 0 PROPANE (C-3) 13 @ 8794.00 0 @ 8812.00 0.3 CURRENT 0 BUTANE (C4) 0 @ 9130.00 0 @ 9130.00 0.0 CURRENT BACKGROUND/AVG N/A/25 PENTANE (C-5) 0 @ 9130.00 0 @ 9130.00 0.0 HYDROCARBON SHOWS INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Interbedded Claystone and Siltstone with common Coal and Sandstone PRESENT LITHOLOGY 20% Carbonaceous Claystone, 30% Coal, 50% Claystone DAILY ACTIVITY SUMMARY Drill ahead to T.D. at 9130'. Circulate hole clean prior to Short trip. EPOCH PERSONNEL ON BOARD 4 DAILY COST $2710 REPORT BY Andrew Buchanan . · UNOCAL ALASKA AFE 162580 STAR 1 DAILY WELLSITE REPORT U EPOCH REPORT FOR Shane Hauck, Jim Brown DATE Jul 25, 2004 TIME 2400hrs DEPTH 9130.00 YESTERDAY 9130 PRESENT OPERATION Test BOPE 24 HOUR FOOTAGE 0 CASING INFORMATION 95/8" @ 1507' 7" @ 4530' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE SIN JETS IN OUT FOOTAGE HOURS T/B/C PULLED DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 0 @ 0 0 @ 0 0 0 FT/HR SURFACE TORQUE 0 @ 0 0 @ 0 0 0 AMPS WEIGHT ON BIT 0 @ 0 0 @ 0 0 0 KLBS ROTARY RPM 0 @ 0 0 @ 0 0 0 RPM PUMP PRESSURE 0 @ 0 0 @ 0 0 0 PSI DRILLING MUD REPORT DEPTH 9130' MW 9.3 VIS 126 PV 24 YP 12 FL 3.8 Gels 12/16/18 CL- FC 0/3 SOL 9.9 SO 0.1 OIL 74 MBL pH Ca+ CCI MWD SUMMARY · INTERVAL TO TOOLS GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 296 @ 8795.00 18 @ 9086.00 83.4 TRIP GAS CUTTING GAS 0 @ 9130.00 0 @ 9130.00 0.0 WIPER GAS 150 CHROMATOGRAPHY (ppm) SURVEY METHANE (C-1) 61961 @ 8794.00 2124 @ 9106.00 16:357.7 CONNECTION GAS HIGH ETHANE (C-2) 96 @ 8821.00 2 @ 9098.00 32.6 AVG PROPANE (C-3) 13 @ 8794.00 0 @ 8812.00 0.3 CURRENT BUTANE (C-4) 0 @ 9130.00 0 @ 9130.00 0.0 CURRENTBACKGROUNDMVG PENTANE (C-5) 0 @ 9130.00 0 @ 9130.00 0.0 HYDROCARBON SHOWS INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY PRESENT LITHOLOGY DAILY ACTIVITY Finish circulating hole clean, wiper trip to shoe, monitor well and trip to bottom, circulate and condition mud SUMMARY for loggging. UD BHA, prepare to test BOPE. EPOCH PERSONNEL ON BOARD 2 DAILY COST $2090 REPORT BY Andrew Buchanan · . UNOCAL ALASKA AFE 162580 STAR 1 REPORT FOR Shane Hauck, Jim Brown DATE Jul 26, 2004 TIME 2400hrs DAILY WELLSITE REPORT ~ EPOCH DEPTH 9130.00 YESTERDAY 9130 24 HOUR FOOTAGE 0 PRESENT OPERATION Rig down Schlumberger SURVEY DATA CASING INFORMATION 95/8" @ 1507' 7" @ 4530' DEPTH INCLINATION AZIMUTH VERTICAL DEPTH METHANE (C-1) ETHANE (C-2) PROPANE (C-3) BUTANE (C-4) PENTANE (C-5) HYDROCARBON SHOWS INTERVAL LITHOLOGY PRESENT LITHOLOGY DAILY ACTIVITY SUMMARY Finish POOH, test BOPE, RIU and run Wireline logs BIT INFORMATION NO. SIZE TYPE . DRILLING PARAMETERS RATE OF PENETRATION SURFACE TORQUE WEIGHT ON BIT ROTARY RPM PUMP PRESSURE DRILLING MUD REPORT MW 9.3 VIS FC 0/3 SOL MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) DITCH GAS CUTTING GAS INTERVAL CONDITION REASON SIN JETS IN OUT FOOTAGE HOURS T/B/C PULLED HIGH LOW AVERAGE CURRENT AVG 0 @ 0 0 @ 0 0 0 FT/HR 0 @ 0 0 @ 0 0 0 AMPS 0 @ 0 0 @ 0 0 0 KLBS 0 @ 0 0 @ 0 0 0 RPM 0 @ 0 0 @ 0 0 0 PSI DEPTH 9130' 126 PV 24 YP 12 FL 3.8 Gels 12/16/18 CL- 9.9 SD 0.1 OIL 74 MBL pH Ca+ CCI HIGH LOW AVERAGE @ @ @ @ CHROMATOGRAPHY (ppm) @ @ @ @ @ @ @ @ @ @ TRIP GAS WIPER GAS SURVEY CONNECTION GAS HIGH AVG CURRENT CURRENTBACKGROUND~VG LITHOLOGY/REMARKS GAS DESCRIPTION EPOCH PERSONNEL ON BOARD 2 DAILY COST $2090 REPORT BY Andrew Buchanan . MN October 26,2004 ;)t}.{-//7 Mr. David Buthman UNOCAL 900 W. 9th Avevue Anchorage, Alaska 99501 Star No.1 Well Cook Inlet, Alaska File: A-87004 Subject: Rotary Core Analysis Report Dear Mr. Buthman: A study to determine basic core analyses parameters on rotary core material recovered from the subject site has been completed for UNOCAL. This study was authorized in a series of communications between representatives of UNOCAL and OMNI Laboratories in July, 2004. Wel/site, Transport and Lab Handling 25 rotary core analyses samples were collected at the rig site then transported to OMNI Laboratories' Houston facility. Upon arrival at the laboratory, the samples were inventoried, CT scanned and photographed to determine suitability for analysis. The CT scans of the plugs are presented in an appendix to this report. The 25 samples were trimmed to right cylinders such that two end trims were obtained. A thin section was prepared from each wellbore end trim by OMNI Laboratories. The formation end trims were provided to Reed Glassman for SEM and XRD analyses. Core Analysis Based on the CT scans, visual examination and completion needs, 9 samples were selected for expedited analyses using OMNI Laboratories Pressure Extraction System. The remaining samples were extracted using sohxlet chloroform-methanol azeotrope to remove residual hydrocarbons and salt. All samples were then dried to a constant weight in a vacuum oven at 140°F. Boyle's law helium grain volumes were measured and grain density calculated. Boyle's law helium pore volume and steady-state permeability to air were determined at 800 psi net confining stress using the Frank Jones permeameter/porosimeter. Klinkenberg permeability values were calculated from the observed steady-state data. Porosities were calculated using the following formula: ø = (PV) / (GV+PV)' 100 where: ø PV GV = Porosity, percent = Pore Volume. cc = Helium Grain Volume. cc Rotary core analysis results are presented in tabular and graphical formats on the pages that follow. Longitudinal (as received) white and ultraviolet light photos were taken of all samples. In addition, white and ultraviolet light end trim photos were taken of the samples where core analysis was performed. All photos are presented in this report, along with the associated routine data, where appropriate. All samples were provided to Bernhard Lungwitz at Schlumberger in Sugar Land, Texas on 10-05-04. Thank you for this opportunity to be of service to UNOCAL. If you have any questions concerning the enclosed information, or if we can be of any additional service, please contact me at 832-237-4000. Sincerely, ~~~ Melanie F. Dunn Manager, Special Core Analysis Laboratory 8-24-04 MNI SUMMARY OF ROTARY CORE ANAL YSES RESUL TS Vacuum Dried at 140°F Net Confining Stress: 800 psi UNOCAL Wildcat Star NO.1 Well File: A-87004 Permeability, Porosity, Grain Sample millidarcys percent Density, Run Sample Depth, to Air I Klinkenberg Ambient I NCS gm/cc Lithological Number Number feet Fast Track I Final Initial I Final Initial I Final Initial I Final Initial I Final Description 1 1 4601.0 3.52 2.71 17.9 17.9 2.72 Sd vfg sshy 1 2 4734.0 5.10 4.00 19.8 19.6 2.68 Sd fg 1 3 4740.0 0.012 0.0043 7.1 7.1 2.69 Sd vfg sshy vcalc 1 4 4920.0 7.71 6.04 20.4 20.3 2.69 Sd fg 1 5 5442.0 45.0 38.7 20.1 19.9 2.65 Sd fg-mg w/carb strks scalc 1 6 7092.0 0.010 0.0037 11.1 11.1 2.70 Sit w/thn sh lams 1 7 7431.0 0.487 0.352 14.3 14.2 2.66 Sd vfg-fg w/thn carb lams scalc 1 8 7636.0 0.751 0.570 14.4 14.3 2.66 Sd mg scalc 1 9 8096.0 1.81 1.85 1.35 1.38 14.5 15.9 14.3 15.5 2.64 2.65 Sd mg-cg 1 10 8106.0 0.995 1.05 0.749 0.795 11.5 14.0 11.4 13.9 2.60 2.64 Sd mg-cg w/sm sh clasts 1 11 8130.0 3.24 3.65 2.48 2.81 13.2 15.6 13.2 15.1 2.60 2.64 Sd fg-mg scalc 1 12 8282.0 2.09 2.37 1.60 1.82 11.5 14.3 10.8 13.7 2.59 2.65 Sd fg-mg scalc 1 13 8289.0 2.47 2.76 1.90 2.12 11.3 14.1 11.1 13.8 2.60 2.65 Sd fg-mg scalc 1 14 8298.0 2.11 2.42 1.64 1.88 12.2 15.0 12.0 14.8 2.61 2.66 Sd mg-cg scalc 1 15 F 8374.0 + 9.7 13.3 2.47 2.51 Sd mg-cg w/lig lam 1 16 8386.0 9.28 9.88 7.46 7.95 13.5 16.4 12.9 15.7 2.59 2.64 Sd mg-cg scarb 1 17 8450.0 0.095 0.125 0.055 0.075 7.7 10.8 7.6 10.5 2.61 2.67 Sd fg scalc 1 18 8544.0 13.6 10.8 15.1 15.0 2.65 Sd cg 1 19 8550.0 1.35 1.01 11.6 11.5 2.64 Sd cg 1 20 8570.0 0.196 0.125 11.6 11.5 2.67 Sd fg-mg 1 21 8638.0 0.206 0.133 11.9 11.7 2.71 Sd fg-mg w/thn carb strks 1 22 8686.0 3.08 2.40 14.7 14.5 2.65 Sd mg scaqrb 1 23 8796.0 11.0 8.89 15.5 15.3 2.64 Sd fg-mg scarb 1 24 8851.0 18.4 15.1 12.7 12.7 2.64 Sd mg-cg w/sm sh strks 1 25 8920.0 0.620 0.410 13.5 13.3 2.64 Sd mg scarb Average values: 2.76 5.63 2.15 4.59 11.7 14.5 11.6 14.3 2.66 F Denotes fractured sample + Denotes sample unsuitable for measurement at net confining stress MNI UNOCAl Star No. 1 Weil 1000 0.001 8-24-04 File: A-87004 100 ~~._~ -------... 10 1 ------------ 0.1 0.01 2 6 10 14 18 22 location Denotes sample Denotes sample I.msuitable measurement at net 8845 .. stress in 1.0 Tx. 4700 (832) 237c4000 2.0 1.0- 2.0 1.0 1 1 2x em 1.0 0.5 8845 Fallbrook. Houston, Tx. Phone (832) 237-4000 Fax (832) 237- 4700 location Denotes Denotes sample unsuitable measurement at net em 1,0_ 8845 Fallbrook, Houston, Phone stress 237-4000 Fax (832) 237· 4700 2x _ 0.5 2.0 1.0- 0.5 FaHbrooK, Phone 4700 I 3 File Denotes fractured sample .¡. Denotes sample I.msuitable measurement at em ~.- 2.0._ - stress 8845 Fallbrook, Houston, Phone (832) 237-4000 Fax (832) 4700 Location 2,O~ 2" <om LO- Denotes fractured ,. Denotes sample unsuitable measurement 3845 Fallbrook, Houston, -- stress In 237 -4000 4700 2.0- 0.5 1,0 0.5 8845 Fallbrook. Houston. Tx, Phone 237-4000 Fax (832) 4700 Denotes + Denotes measurement at net 8845 Fallbrook, Houston, Tx, Phone 2.0_ 1.0 stress 237-4000 Fax (832) 237· 4700 in 1.0 ~ 0.5 1.0 8845 Fallbrook, 4700 Tx Phone (832) 237·4000 Fax (832) o Fallbrook, Houston, Phone (832) 237-4000 Denotes ... Denotes sample net 1.0 stress (832) 4700 Location 2)( 1,0 em 8845 Fallbrook, Tx 237-4000 Fax (832) 4700 1 Well location Denotes fractured sample Denotes unsuitable measurement at net stress 8845 Fallbrook. Houston, Tx. Phone (832) 237,4000 Fax 4700 1 2x em 2.0 1.0 0.5 8845 Phone 237-4700 Denotes fractured Denotes sample measurement Houston, stress (832) 237,4000 (832) 4700 Well location 2x 2.0 em o 8 Fallbrook, Phone 237·4000 Fa%: (832) 4700 Denotes Denotes measurement 8845 Fallbrook, -- Tx, Phone stress 237-4000 4700 2.0 in -- ,_ 0.5 1,0 8845 f"allbrook, Houston, (832) 4700 Phöne 237-4000 Location Denotes fractured sample Denotes measurement Fallbrook, Houston, -- stress (832) 237·4000 8 ~ 0,5 2.0 i,O 2x em i.O 2.0-- 0,5 1 Denotes fractured sample Denotes sample unsuitable for measurement at net 8845 Houston, Tx stress em (832) 237~4000 (832) 8 1 Location em 2. 2.0~ 8845 Fallbrook, Houston, Tx, (832) 237-4000 Fax (832) 237- 4700 Denotes fractured sample + Denotes sample unsuitable measurement at Fallbrook, Houston, Tx, Phone (832) 237·4000 Fax (832) 4700 1.0- 2" 1.0- -- 0.5 Houston, (832) 237- 4700 Phone (832) 237-4000 . Denotes fractured Denotes samp!e unsuitable for measurement Fallbrook. Houston. Tx, (832) 237-4000 4700 I 1 Well 2" em 1,0- ~ 0.5 2,0 1,0 o location 1 Denotes fractured sample -I- Denotes sample unsuitable measurement at stress 3X 2.0 Houston, Tx, Phone (832) 237~4000 4700 1,0 2" 1.0 _ 0.5 1,0 8845 Fallbrook. Houston. 4700 Location Denotes fractured ;. sample unsuitable measurement net 3)( 2>0 8845 Fallbrook> Houston, lx, Phone (832) stress m Fax 4700 1,0 2.0 1,0 8845 Fallbrook, Houston, Tx. Phone 237-4000 4700 Location Denotes sample unsuitable measurement at 1,0 Fallbrook, (832) 237~4000 4700 stress 1.0 0.5 8845 Fallbrook, Houston, (832) 237-4000 (832) 237- 4700 1 1 sample Denotes measurement at net 8845 Fallbrook, Houston, Tx, Phone stress (832) 4700 i.O 8845 Fallbmok, Phone (832) 237-4000 (832) 4700 Well Denotes Denotes sample unsuitable measurement 1.0 stress 8845 Houston. Phone (832) 237-4000 Fax 237-4700 1.0 1,0 2x 2.0 1,0 o Well Denotes fractured + Denotes sample measurement at 8845 Fallbrook, Houston, Phone 1.0 stress 237·4000 Fax (832) 237· 4700 Well in 1,Q (832) 4700 Denotes fractured sample Denotes sample unsuitable measurement at 8845 Fallbrook, Houston, Phone stress 237~4000 Fax In 2x 1.0 o Well Denotes fractured sample sample unsuitable measurement at 8845 Fallbrook, -- --L_ Tx, stress 237-4000 Fax (832) 237~ 4700 Well in 2,0 2)( in 1,0 0"5 Denotes fractured Denotes sample 8845 Faiibrook, Phone (832) 237,4000 Fax 4700 1.0 2x 0.5 8845 Fallbrook, Houston, P!ìone (832) 237-4000 Fax (832) 4700 sample Denotes sample for u_ 2.0 em 1.0 Fallbrook, Houston, Phone (832) 237-4000 (832) 4700 '" 1.0 1,0 8845 Fallbrook, Houston. 237-4000 (832) 4700 Well Denotes fractured sample Denotes sample unsuitable for Tx, Phone (832) stress 3)( em 1.0 Fax 4700 I o Well fractured sample Denotes sample measurement at 3X stress Fallbrook. Houston, Tx, Phone (832) 237~4000 Fax 4700 1.0 _,0.5 1,0 HOU$tOI1, Tx Fax (832) 4700 (832) APPENDIX A COMPUTED TOMOGRAPHY IMAGES (CT Scans) INDIVIDUAL PLUGS MN-